OpenAI’s colossal AI data center targets would consume as much electricity as entire nation of India
The OpenAI report also makes a case that companies are using AI more, stating that "frontier firms" and "leaders" are sending 6x more prompts to ChatGPT than "laggards", or the median AI-using firms. However, all this "6x" number proves is that some companies use ChatGPT more than others, saying nothing about the quality of the work done or how this usage affects business numbers.
OpenAI may be looking to contradict studies from educational institutions published earlier this year. An August study from MIT showed that 95% of organizations that invested in AI business products "found zero return" despite corporate investments of $30-40 billion. The study shows that the "vast majority" of AI pilot programs stall, delivering little to no measurable impact on profit. Shortly after, a research initiative from Harvard Business Review found that most professional AI use constituted little more than "workslop", or work content that "masquerades as good work, but lacks the substance to meaningfully advance a given task.”
In late November, Anthropic published its own research to respond to these allegations. The internal survey, submitted without peer review, found that using Claude, Anthropic's AI assistant, cuts down the time it takes people to complete work tasks by 80%, from an average of 90 minutes down to 18 minutes, based on a look at 100,000 private Claude conversations. But as the company admits, buried deep in the website copy, these numbers have no promise of actually reflecting real-world efficiency. "This doesn’t account for the time that humans might spend on these tasks beyond their conversation on Claude.ai, however, so we think these estimates might overstate current productivity effects to at least some degree," says Anthropic's own study.
Regardless of these self-admissions of weak methodology and the cherry-picking of numbers, the AI industry is still publicly bullish on its own claims of enterprise profit increase.
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Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/tech-industry/artificial-intelligence/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/artificial-intelligence/research-commissioned-by-openai-and-anthropic-claims-that-workers-are-more-efficient-when-using-ai-up-to-one-hour-saved-on-average-as-companies-make-bid-to-maintain-enterprise-ai-spending#main
- https://www.tomshardware.com
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