😲OpenAI’s Big Switch

OpenAI mulls full for-profit model

Key Points 

• The company’s current structure is a partnership between the original nonprofit and a new capped-profit arm.

• If the full for-profit model is implemented, it would likely result in OpenAI’s nonprofit board losing control of the company.

♨️News - OpenAI is reportedly considering transitioning from a capped-profit corporation to a full for-profit model. CEO Sam Altman allegedly informed shareholders of this potential change during the week of June 10. If implemented, this shift would likely result in OpenAI’s nonprofit board losing control of the company.

📖For context - OpenAI is currently valued at around $86 billion. The company’s structure is described on its website as a partnership between the original nonprofit and a new capped-profit arm.

The website explains that the capped-profit model was adopted to encourage research into artificial general intelligence (AGI) while staying true to the company’s vision. OpenAI states that this shift was necessary because donations were insufficient to support its work, and a new funding model was needed to incentivize stakeholders.

The latest effort to restructure OpenAI into a full for-profit entity comes as CEO Sam Altman has revamped the board to include himself and a select group of newly appointed, handpicked stakeholders. This group notably features Sue Desmond-Hellmann (former CEO of the Bill and Melinda Gates Foundation), Nicole Seligman (former Sony vice president), and Fidji Simo (CEO and chair of Instacart).

👀See also - OpenAI also recently added retired U.S. Army general and former NSA director Paul Nakasone to its board. This move sparked a strong reaction from Edward Snowden, a former U.S. intelligence contractor, who cautioned against trusting OpenAI or its products, stating:

People don't trust news content generated by AI, report reveals

Key Points 

• Respondents expressed discomfort with news primarily produced by AI but were more comfortable with AI being used behind the scenes to enhance journalists' efficiency.

• Concerns about false news content were notably higher in South Africa and the U.S., likely influenced by the upcoming elections in both countries.

☕News - A report by the Reuters Institute for the Study of Journalism has highlighted rising global concerns about AI's role in news production and misinformation, adding to the difficulties newsrooms face in engaging audiences.

The annual Digital News Report, based on surveys of nearly 100,000 people across 47 countries, revealed that consumers are suspicious of AI-generated news content, especially on sensitive topics like politics.

🗞️Additional standout findings include -

• Of the 2,000 participants surveyed in each country, 52% of U.S. respondents and 63% of UK respondents expressed discomfort with news primarily produced by AI. However, respondents were more comfortable with AI being used behind the scenes to enhance journalists' efficiency.

• Concerns about false news content online were found to have increased by three percentage points from last year, with 59% of survey respondents expressing worry about this issue. The concern was notably higher in South Africa and the U.S., reaching 81% and 72%, respectively, likely influenced by the upcoming elections in both countries.

• The report noted that only 17% of respondents across 20 countries reported paying for online news, a figure unchanged over the past three years. Additionally, in the U.S., a significant portion of news subscribers likely benefited from discounted rates, with 46% paying less than the full subscription price.

• Finally, a survey of more than 5,600 TikTok users who use the app for news revealed that 57% paid more attention to individual personalities, compared to 34% who primarily followed journalists or news brands.

Chinese scientists create AI military commander to run virtual battles

Key Points 

• China's regulations prohibit the AI commander from assuming leadership roles in the military. Therefore, it is confined within a laboratory.

• The AI commander was created to assist in testing the PLA's operational plans for potential military conflicts, such as those involving Taiwan and the South China Sea. 

🪖News - In an era where artificial intelligence is becoming increasingly integrated into various sectors, Chinese scientists have found an unusual application for the technology: they've created an AI commander. Interestingly, this development comes despite the country's regulations prohibiting AI from assuming leadership roles in the military.

🤔So then what's it being used for? The AI commander, developed and contained within a laboratory at the Joint Operations College of the National Defence University in Shijiazhuang, Hebei province, closely mimics human commanders in every aspect, including their experience, thinking processes, personality traits, and imperfections.

It is primarily used in large-scale computer war games involving all branches of the People’s Liberation Army (PLA), where it has been granted supreme command authority. This role allows the AI commander to learn and evolve quickly within the constantly changing virtual warfare simulations.

🧐What problem is it helping solve though? The AI commander was created to assist in testing the PLA's operational plans for potential military conflicts, such as those involving Taiwan and the South China Sea. 

Scientists use simulations to understand the chaos of battle and evaluate the effectiveness of strategies. In these simulations, human commanders are crucial for making real-time decisions in response to unexpected events. However, there are limited senior PLA commanders available, making it difficult for them to participate in many war simulations.

The AI commander acts as a substitute for human commanders in large-scale virtual battles, exercising command authority within the laboratory setting without human oversight. This allows for extensive testing of military strategies and responses in a controlled environment.