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🧑‍🚀 Microsoft's AI Ambition: Taking on Apple, Google, and Everyone Else

Microsoft’s Copilot updates target personal and business users, while Apple lags. Startups like Perplexity AI and SandboxAQ seek multi-billion-dollar valuations, IBM enhances business AI models, and Midjourney launches an AI image editor to combat misuse.

Good morning, it’s Tuesday. Microsoft is aiming to outdo Apple and Google with its latest AI updates to Copilot. From voice chat and visual recognition to a virtual news anchor, the tech giant wants to be your go-to AI companion for both work and play.

In other news: Perplexity could double its valuation to $8 billion with new funding, while Apple’s internal research shows Siri is two years behind leading generative AI technologies. Let's dive in!

Inside Today’s Edition:

🗞️ YOUR DAILY ROLLUP

Top Stories of the Day

Perplexity $8 Billion Valuation

Perplexity AI Targets $8 Billion Valuation
Perplexity AI seeks $500 million in funding, potentially doubling its valuation to over $8 billion. The startup, generating $50 million annually, introduced a revenue-sharing model to ease content concerns.

Midjourney to Launch AI Image Editor
Midjourney will introduce a web tool for AI-driven image editing with human and AI moderation to prevent misuse, addressing concerns over deepfakes and copyright violations, including political content filters.

SandboxAQ Seeks Funding at $5 Billion Valuation
SandboxAQ, specializing in quantum physics-based software for sectors like healthcare and navigation, seeks funding to reach a $5 billion valuation, focusing on Large Quantitative Models over generative AI.

IBM Launches Granite 3.0 AI Models
IBM's Granite 3.0 AI models focus on performance, efficiency, and safety, featuring Mixture-of-Experts for low latency and advanced risk detection, enhancing AI accessibility for business applications.

Microsoft to Launch AI Agents in November
Microsoft will let businesses build autonomous AI agents via Copilot Studio in November, enabling automation of routine tasks like communications and inventory management with minimal human involvement.

Apple AI Reportedly Two Years Behind
Internal Apple research reveals Siri lags behind OpenAI's ChatGPT by 25% in accuracy, highlighting a two-year gap in generative AI technology compared to industry leaders.

♟️ AI STRATEGY

Microsoft’s AI Playbook

Microsoft plan

The Recap:
Microsoft’s latest Copilot updates signal its ambition to dominate both work and personal AI usage. The rollout introduces advanced voice, vision, and conversational tools, positioning Copilot as a seamless daily assistant while aiming to outcompete rivals like Apple, Google, and Adobe.

Highlights:

  • Microsoft's Copilot now features visual recognition and conversational capabilities, expanding beyond workplace productivity.

  • Microsoft AI CEO Mustafa Suleyman envisions AI as an integral part of daily life, introducing Copilot as a personal assistant available across both iOS and Android platforms.

  • The integration of generative AI in tools like Microsoft Paint challenges Adobe's creative suite.

  • Copilot Vision allows users to analyze web content in real time, combining voice and visual AI.

  • New features like Copilot Daily provide audio summaries of news, taking aim at Google’s AI products.

  • Microsoft lags in AI chip development, where rivals Google and Amazon are ahead.

  • AI-driven services, especially in the cloud, have boosted Microsoft’s revenue but its stock performance trails competitors in 2024.

Forward Future Takeaways:
Microsoft's strategy with Copilot positions it as a multi-platform AI leader, emphasizing usability in everyday scenarios. However, its late start in AI hardware development could hinder long-term competitiveness. The focus on creating indispensable AI tools for both work and personal life will be crucial for Microsoft's success against entrenched players like Google and Apple. → Read the full article here.

👾 FORWARD FUTURE ORIGINAL

Scale Is All You Need? Part 3-2

This article is a Forward Future Original by guest author, Kim Isenberg.


Energy

US power demand likely to experience growth
not seen in a generation.

Goldman Sachs

After analyzing the exponentially increasing demand for compute, which is largely driven by the increasing complexity and size of modern AI models, we are now turning our attention to one of the fundamental requirements for these developments: power. Without sufficient energy supply, even the most powerful data centers and GPUs would not be able to do their work.

But as the models continue to grow in size, energy requirements are also growing at a breathtaking pace. Each additional GPU used to train models like GPT, Llama or DALL-E consumes not only more computing power but also more electricity This leads us to a crucial bottleneck on the road to AGI: the availability and sustainability of energy. While companies like NVIDIA are working on developing more efficient chips (e.g. NVIDIA's B200 series is said to be significantly more energy efficient than the H100 series), the energy question remains unresolved: power consumption is increasing exponentially, and the efficiency gains of modern hardware can only cushion this development to a limited extent.

A glance at the infrastructure already shows that the demand for energy for AI applications has reached new dimensions. Microsoft's purchase of 5 gigawatts from the Three Mile Island nuclear power plant is a clear indicator of the amount of electricity needed to operate AI systems today. Sam Altman of OpenAI also secures access to enormous amounts of energy to ensure the future development of his AI models. → Continue reading here.

🛰️ NEWS

Looking Forward: More Headlines

  • Apple's AI Ambition Lags: Apple's iPad Mini showcases AI focus, but it trails behind Google and OpenAI in generative AI development.

  • Honeywell, Google AI Partnership: Honeywell partners with Google to integrate AI for automating industrial tasks, boosting productivity by 2025.

  • AI Tool for Cultural Mediation: Researchers develop AI to generate consensus in cultural debates, though critics note representation issues.

  • High-Speed AI Deployment: SambaNova and Gradio enable fast AI deployment, leveraging advanced chips, but face efficiency challenges.

  • AI in Grieving Support: AI tools can aid grieving, but experts warn of risks like privacy issues and delayed emotional healing.

  • Autonomous Agents Boost Teams: Microsoft's new AI agents in Dynamics 365 streamline business tasks, offering significant cost savings.

🧰 TOOLBOX

AI Solutions Revolutionizing Code Reviews, Bookkeeping, and Business Automation

  • AI-Powered Code Review Platform: CodeAnt AI streamlines code reviews by automating bug detection, security analysis, and pull request summaries, reducing review time and enhancing security.

  • Automated Bookkeeping Software: Kick automates accounting tasks, offering real-time transaction tracking, tax-ready financials, and profitability insights to streamline business bookkeeping and collaboration.

  • AI Chatbots for Automation: ChatNode offers customizable, secure AI chatbots for business tasks like customer support and lead generation, with seamless integrations and a free forever plan.

📽️ VIDEO

OpenAI Unveils Open-Source Agent Framework, NVIDIA’s New Chips, and More

OpenAI has released "Swarm," an open-source agentic framework, marking their entry into multi-agent orchestration tools, while NVIDIA continues its cutting-edge hardware advancements by delivering its latest powerful GPUs to OpenAI.

Get the full scoop and more in our latest video! 👇

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🤠 THE DAILY BYTE

AI Visual Translation: Bridging the Language Gap—Pixel by Pixel

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