AI PC hype bubble swells

And: The $7 trillion man, Sam Altman | Stability, Midjourney, Runway hit back in AI art lawsuit

Author

AI Periscope
February 09, 2024

The AI PC

Summary - There is growing excitement around AI PCs, fueled by companies like Intel aiming to boost desktop and laptop sales despite the current absence of supporting software, notably from Microsoft. Industry analysts forecast a sharp increase in AI PC sales, predicting these devices will soon dominate PC shipments. AI PCs, defined by their ability to perform AI tasks through specialized hardware like neural processing units (NPUs), face practical challenges as the envisioned applications exceed the present software capabilities.

Buoy points:

  • What is an AI PC?: Gartner says it’s one "equipped with dedicated AI accelerators or cores, neural processing units (NPUs), accelerated processing units (APUs) or tensor processing units (TPUs), designed to optimize and accelerate AI tasks on the device."

  • Hardware makers’ push: Intel and other system builders are promoting AI PCs as the next big thing to rejuvenate sagging desktop and laptop sales.

  • Estimated AI PC sales: Gartner estimates AI PCs will account for 22% of all 2024 PC sales, although NPU-equipped PCs are not widely available as of this writing.

  • Software still lags: Despite the optimism for hardware sales, operating systems that specifically take advantage of NPU and AI dedicated processing are still in development.

  • The longer-term outlook: As software catches up, all PCs will eventually become AI PCs, with some reports estimating AI PCs will be 60% of PC sales by 2027.

POV - Remember the skyrocketing GPU prices in recent years, due to the crypto craze, and exacerbated by chip shortages and supply chain issues? I wonder if we’re in for another period of crazy prices for hardware. Chipmakers are already stretched thin with the explosion of LLM and AI processing. It seems AI PCs are sure to feel the effects. Are you ready to jump into an AI PC?

The $7 Trillion Man

Summary - Sam Altman, the visionary behind OpenAI, is now setting his sights sky-high, aiming to gather a jaw-dropping $5 to $7 trillion to revolutionize the semiconductor industry and supercharge AI's capabilities. With the UAE government potentially on board and talks with industry giants like TSMC, Altman's ambitions could redefine the global tech landscape. But this isn't just a tech tycoon's expensive daydream; it's a strategic play to overcome the GPU shortage crippling AI's advancement and a bold step into a future where AI and chips are as ubiquitous as smartphones today. In a world where billions are the new millions, Altman's trillion-dollar quest might just be the next big leap.

Buoy points:

  • The funding and funder: Altman is pursuing up to $7 trillion to expand global chip manufacturing to power AI advancements, engaging with the UAE government among others.

  • What is the purpose?: This investment is envisioned to address the scarcity of GPUs necessary for AI development, a critical bottleneck for projects like ChatGPT.

  • Partnerships: Altman's plans include partnerships for building chip foundries, potentially increasing chip supply and addressing energy demands for AI operations.

  • Funding size comparison: To put this in context, here are the top GDP by country in 2022:

POV - This level of funding is unprecedented… by a country mile. Does Sam Altman have a mega-bold vision for what’s next, or is ego creeping in?

For a non-paywalled article, read this.

Lawsuit | Copyright

Summary - In a fascinating twist to the ongoing legal drama between artists and AI companies, the latter have come out swinging with motions to dismiss a copyright lawsuit against them. The dispute centers around the use of artists' works to train AI models for generating new images, sparking a heated debate on copyright and creativity in the digital age. With arguments ranging from the non-infringement nature of AI models to the specific use cases of the technology, this legal battle is shaping up to be a landmark case in defining the boundaries of copyright in the era of AI-generated art.

Buoy points:

  • AI Companies' Defense: Stability AI, Midjourney, and Runway argue their AI models create new content without directly copying existing artworks, challenging traditional notions of copyright infringement.

  • DeviantArt's Unique Stance: DeviantArt claims it doesn't produce AI art models, questioning its involvement in the lawsuit and sparking debate on platform liability for AI's use of copyrighted content.

  • Runway and Copyright: Runway denies storing or directly replicating artists' works, citing the Google Books case to argue that limited access to copyrighted material does not equal infringement.

  • Stability AI's Legal Argument: Stability AI insists its models, as software, don't infringe copyrights, drawing parallels with the Sony Betamax case to highlight legitimate, non-infringing uses of AI technology.

  • Midjourney's Clarification: Midjourney addresses claims of copyright infringement by providing context for its founder's Discord messages, aiming to clarify its data gathering and model training processes.

  • Technological and Legal Implications: The lawsuit delves into whether AI's training and outputs can infringe copyrights, with potential wide-reaching effects on AI development and content creation.

POV - The evolving battle over copyright ownership is just getting started. I think it will require multiple cases going all the way to the Supreme Court to cut deep enough into this issue. Of course, that just accounts for U.S. cases. Who is in the right here? Is this a David vs. Goliath fight brewing?

Don’t forget to check out other AI headlines in The Ocean.

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