🗞 OpenAI Mulls For-Profit Shift, Eyeing Potential IPO 💸

🔎 The Latest on the AI Frontier:

• OpenAI Mulls For-Profit Shift, Eyeing Potential IPO 💸

• Microsoft's AI Chief Probes OpenAI's Algorithms 🔍

• Meta's AI Assistant Plans Halted in Europe Over Privacy 🚫

• Apple's New AI Features Limited to Latest iPhones 🍎

• TikTok Introduces AI Avatars for Global Marketing 🎭

• Perplexity AI Expands in Japan with SoftBank Deal 🤝

• McDonald's Ends AI Drive-Thru Ordering Program 🍔

💸 OpenAI, the $86 billion AI company behind ChatGPT, is considering a shift to a for-profit model which could pave the way for an eventual IPO. Read More

• CEO Sam Altman has discussed plans with shareholders to change OpenAI's governance structure to a for-profit benefit corporation, potentially allowing him to take an ownership stake.

• As the AI sector faces increased regulatory scrutiny, OpenAI is expanding its global affairs department from 35 to 50 people to engage with policymakers, but states its goal is ensuring AI benefits humanity rather than quashing regulations.

• OpenAI is partnering with Apple to incorporate its advanced AI into Siri and writing tools, as Apple realizes customers want access to industry-leading AI solutions beyond just its own capabilities.

🌎 Microsoft's AI chief Mustafa Suleyman, a DeepMind co-founder, has been looking into OpenAI's secret algorithms as part of Microsoft's IP rights from its multibillion-dollar investment in OpenAI, highlighting the unusual dynamic of the companies being both partners and competitors. Read More

• OpenAI was founded partly as a countermeasure to Google's DeepMind, which Suleyman co-founded before later joining Microsoft to lead its AI efforts.

• While Microsoft has access to OpenAI's launched products, the presence of Suleyman, a key AI pioneer, gives Microsoft an advantage if the companies' relationship cools in the future.

• For now, the symbiotic Microsoft-OpenAI relationship remains strong, with the companies needing each other to stay ahead in the rapidly advancing AI race.

🚫 Meta halts plans for its AI assistant in Europe after objections from Ireland's privacy regulator. Read More

• The Irish Data Protection Commission asked Meta to delay training its language models on content publicly posted to Facebook and Instagram profiles.

• Meta claims it needs "local information" to develop a competitive product and can only offer a "second-rate experience" without it.

• European regulators and privacy advocates argue that Meta's approach to using data for AI is not GDPR compliant.

🍎 Apple Intelligence, the company's new generative AI features, will only work on iPhone 15 Pro models and newer, despite older iPhones potentially having the necessary hardware. Read More

• Neural Processing Units (NPUs), which excel at the matrix manipulation required for generative AI tasks, have been present in iPhones since the iPhone 8 in 2017.

• RAM limitations may be the reason for the compatibility restriction, as AI models need to be stored in RAM for local processing, and older iPhones have only 6 GB compared to the 8 GB in supported models.

• Hobbyist software historian Albacore has managed to get some of Microsoft's Copilot+ AI features working on cheaper, unsupported hardware, suggesting artificial gating of these capabilities.

🎭 TikTok introduces new generative AI tools to help brands and creators grow global audiences using customizable digital avatars and language dubbing features. Read More

• Symphony Digital Avatars come in two types: stock avatars based on paid actors from diverse backgrounds, and custom avatars resembling specific creators or brand spokespeople.

• Symphony AI Dubbing is a "global translation tool" that allows creators to dub content into over 10 languages and dialects, automatically detecting spoken language and producing translated, dubbed videos.

• Videos using these AI-generated avatars will be marked with an "AI-generated" label for transparency.

🤝 Perplexity AI partners with SoftBank to offer free one-year subscriptions to its premium tier, Perplexity Pro, in Japan starting June 19. Read More

• The deal aims to expand Perplexity's user base and data touchpoints in SoftBank's home market, highlighting the AI startup's international ambitions and focus on generating revenue from its $20/month or $200/year paid tier.

• SoftBank sees the partnership as an opportunity to work with Perplexity on other AI services, as it has made AI a significant focus of its ambitions, including its founder's plan to build a $100 billion AI chip venture and its own Japanese-language LLM venture launched last year.

• Perplexity Pro allows users to select from the latest LLMs to power search queries and offers features like high-quality image generation in various styles and an AI profile feature that customizes search results and provides chat-based support.

🍔 McDonald's is ending its AI drive-thru ordering program in partnership with IBM, with the technology set to be shut off in all test restaurants by July 26, 2024. Read More

• Over 100 McDonald's locations have been testing the AI order-taking technology since 2021, aiming to simplify operations and speed up customer service.

• Despite successes, McDonald's plans to explore voice ordering solutions more broadly and make an informed decision on a future solution by the end of the year.

• IBM stated that the developed technology is proven to have comprehensive capabilities and performs fast and accurately in demanding conditions, and looks forward to continuing work with McDonald's on other projects.

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