AI Edition - It's AI Time - 87 [10-07-2024]

 AI Edition - It's AI Time - 87

xAI ends deal with Oracle, builds own AI datacenter

xAI has ended its deal with Oracle. It will build its own datacenter after Grok 2 training finishes. The company originally contracted for 24k H100s from Oracle.

Pop Culture

Goldman Sachs released a critical 31-page report titled "Gen AI: Too Much Spend, Too Little Benefit?", arguing that generative AI's productivity benefits and returns are significantly limited and that its power demands will drastically increase utility spending. The report highlights doubts about AI's ability to transform industries, pointing out high costs, power grid challenges, and lack of clear productivity gains or significant revenue generation. It suggests a potentially bleak future for the technology without major breakthroughs.

The AI Summer

The rapid adoption of ChatGPT, which reached 100 million users in two months, stands in contrast to historical tech developments like the iPhone and e-commerce, which took years to gain traction. Despite the initial hype, many users have not found long-term utility with ChatGPT and enterprise deployment of large language models remains limited, indicating a need for further development to achieve meaningful product-market fit and sustained value.

Use AI and Why Not Use AI?

54% of respondents familiar with AI have actively used it. 59% of researchers vs. 50% of clinicians have used AI. 37% of researchers vs. 26% of clinicians use AI for work purposes. 25% of respondents have used ChatGPT for work purposes. 35% of men vs. 27% of women use AI for work.

AI Tech Tools Could Save Professionals 4 Hours a Week

13% of professionals foresee limited AI adoption in the next five years. 19% predict widespread AI use in the workplace. On average, 56% of workers will use AI tech in five years. Baby boomers predict 60% AI adoption, higher than Gen Z.