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Daily Digest #298

Hello folks, here’s what we have today;

Wes²³¹ covered my post on AI wrappers in his video highlighting ideas that make money with AI. Check it out⁵⁷², some good advice for builders.

PICKS

1. I wrote a post this morning on the trend of AI Writing^1,217. It’s a HUGE space with many players, but finding the right opportunity still has a big upside. I break down Jenni which is an AI tool for students making $2M Annual recurring revenue!

2. Google has quietly postponed the launch of Gemini³³⁵—its much-awaited new AI model. The launch events were intended to be Google's biggest product debut in a decade as it tries to catch up to OpenAI. Why? Because Google thinks it didn't reliably handle some non-English language queries.🍿Our Summary²³⁴ (also below)

3. OpenAI signed a secret letter to buy brain-like AI chips⁴⁶⁶ - According to Wired, OpenAI signed a letter of intent to purchase $51 million worth of AI chips from startup Rain, a company Sam Altman has personally invested in. Rain is developing a brain-inspired chip with 100x computing power and 10,000x energy efficiency.🍿Our Summary³⁵⁹ (also below)

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NEWS

• GPT Store will come next year. Also, the actions menu in GPT builder has some updates. Source: OpenAI email.

• A step-by-step visualization to understand how an LLM works.⁹⁶¹

• Nvidia ft. Jensen Huang - An overnight success story¹⁸⁸ 30 years in the making.

• The inside story²⁴⁷ of Microsoft’s partnership with OpenAI.

• Everything you need to know to create a custom GPT.⁷¹⁵

• Nous Hermes 2.5 Vision Alpha¹²⁷ - Adding vision capabilities to Hermes 2.5 model.

• Apple and Google avoid naming ChatGPT as their 'app of the year'²¹¹.

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QUICK BITES

Google has quietly postponed the launch of Gemini³³⁵—its much-awaited new AI model. The launch events were intended to be Google's biggest product debut in a decade as it tries to catch up to OpenAI.

What is going on here?

Google is struggling to match OpenAI's capabilities in conversational AI, causing it to delay Gemini's launch to continue improvements.

What does this mean?

There wasn’t much official hype about these events happening in the first place but now they have been cancelled and postponed to January. Why? Because Google thinks it didn't reliably handle some non-English language queries.

At some point, Google has got to ship. They can’t just postpoint these launches just because they are behind OpenAI. Gotta listen to the indie maker advice: ship and improve. Their own example, Bard has improved with extensions, Youtube features, etc. over time since it launched.

At the same time, it’s understandable. The expectation that Gemini will compete with GPT-4 and provide new capabilities is holding Google back. A weak launch means hundreds of billions lost for Google’s size.

Why should I care?

The delay also points to something that’s kinda obvious now. Catching up with Gpt-4 is very hard. It’s been 9 months since its launch and all the newer models are still way behind.

All hope is not lost though, Google is going to launch in January (at least the report says they will). Let’s see what they’ve got then.

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QUICK BITES

According to Wired, OpenAI signed a letter of intent to purchase $51 million worth of AI chips from startup Rain,⁴⁶⁶ a company Sam Altman has personally invested in. Rain is developing a brain-inspired chip called a neuromorphic processing unit (NPU) which it claims could yield 100x more computing power and 10,000x greater energy efficiency for AI model training compared to today's GPUs.

What is going on here?

The newly reported OpenAI-Rain agreement highlights potential hardware plans and sources of conflict.

What does this mean?

OpenAI (Sam) sees custom hardware like Rain's NPU as key to advancing AI capabilities and overcoming constraints it currently faces in rolling out models like ChatGPT. Wired claims that the deal depends on Rain’s ability to deliver working chips.

Earlier this year, Rain said that it could tape out a chip soon (almost ready to produce the chips in simple words). However, national security concerns over Saudi investment in Rain led a government committee to force divestment, which along with a recent leadership change at Rain could be roadbreaks to fulfilling the $51 million order.

Why should I care?

Sam has invested $1M in Rain earlier. As news reports go, this one again relates to the big question: was this the root of “not candid communication” that led to Sam Altman’s firing?

Talking about the chips, Rain’s NPU could be game-changing, though Rain’s claims remain scientifically unproven. Still, fair to say that new custom hardware is pivotal for progress at OpenAI and AI in general.

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