How Microsoft swallowed its pride to make a massive bet on Open AI
Hold the funny phone! - CEO of Microsoft’s reaction when told of GPT-4 AI
How Microsoft swallowed its pride to make a massive bet on Open AI
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CEOs must soldier on even as AI anxieties loom
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Hold the funny phone! - CEO of Microsoft’s reaction when told of GPT-4 AI or: How Microsoft Swallowed Its Pride to Make a Massive Bet on OpenAI
Satya Nadella didn’t want to hear it.
Last December, Peter Lee, who oversees Microsoft’s sprawling research efforts, was briefing Nadella, Microsoft’s CEO, and his deputies about a series of tests Microsoft had conducted of GPT-4, the then-unreleased new artificial intelligence large-language model built by OpenAI. Lee told Nadella Microsoft’s researchers were blown away by the model’s ability to understand conversational language and generate humanlike answers, and they believed it showed sparks of artificial general intelligence—capabilities on par with those of a human mind.
But Nadella abruptly cut off Lee midsentence, demanding to know how OpenAI had managed to surpass the capabilities of the AI project Microsoft’s 1,500-person research team had been working on for decades. “OpenAI built this with 250 people,” Nadella said, according to Lee, who is executive vice president and head of Microsoft Research. “Why do we have Microsoft Research at all?”
Plus, previously unreported details on the cost of the supercomputer that Azure (cloud division of Microsoft) built for OpenAI — over $1.2 billion — which dwarfed the server clusters Microsoft had built for its own internal services. Meanwhile, Microsoft has warned investors to expect big increases in capex on AI hardware in the coming year. That was a tough pill to swallow for some Microsoft employees after Nadella told staff this month that full-time staff won’t receive pay raises.
by Aaron Holmes of The Information(hard paywalled)
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CEOs Must Soldier On Even as AI Anxieties Loom
Chief executive officers keep getting new jobs piled onto their shoulders. The economic rise of China since the 1980s meant that they had to become Sinologists. The twin populist shocks of Brexit and Donald Trump’s presidential ascension meant that they had to think about the capitalist system’s legitimacy. Now, with the next tech revolution at warp speed, they are having to become experts on artificial intelligence.
During the China era, CEOs tried (at the very least) to master a few words of Mandarin. Today, they’re sprinkling AI-speak into their conversations: foundation models, large language models, hallucinations and the lot. And they’re desperately boning up on the latest books and obediently trooping to classes.
You might expect some employees to be more nervous. But a survey by Fishbowl, a professional social network, of 11,700 workers, including employees at the biggest tech companies, suggests that they are adopting AI even faster than their bosses: 43% of respondents said that they used AI to do their work — and 68% of the 43% said that they hadn’t told their bosses that they were doing so.
But the cry of “faster please!” will only get louder…
-Alan Woolridge, Bloomberg(tap to read)
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