ChatGPT and AI will disrupt these industries

every few decades we witness an innovation that completely changes the world and we mean one that really makes a difference like the internet or the airplane are you ready for the next definitive moment in history it's here and it's called chat GPT this sophisticated chat bot developed by artificial intelligence research Company open AI launched on November 30th 2022. tell it to write you a poem and it'll give you a masterpiece ask if it has any opinions about humans in general and it'll tell you they are the worst thing to ever happen to this planet it's no surprise that Chad gbt gained 1 million users in just five days even faster than Instagram which took 75 days to reach the same Milestone the launch of chat GPT has caught the attention of some of the biggest names in technology with some even comparing it to the introduction of the iPhone but what is chat GPT is it over hyped or will it change the world as we know it chat GPT is part of a larger trend of generative AI which uses machine learning to automatically generate text images and videos it's taken years and millions of dollars to train this Advanced artificial intelligence and it's poised to have a major impact on a variety of Industries but which ones will benefit from the use of open ai's artificial intelligence tools and which ones will be disrupted join us as we take a closer look at the history of open Ai and the future of artificial intelligence open AI was founded in 2015 as a non-profit organization with the goal of building artificial general intelligence or AGI that benefits all of humanity the company was funded with a massive 1 billion dollars by Silicon Valley heavyweights like Elon Musk Peter Thiel and Sam Altman openai's CEO here he defines what AGI is Agi is basically the equivalent of a median human that you could like you know hire as a co-worker so and then they could like say do anything that you'd be happy with a remote co-worker doing like just behind a computer open ai's Journey hasn't always been smooth sailing open AI was supposed to be an open source project meaning their source code would be shared with the world and research findings would be made available to the public this contrasted from other AI companies like deepmind which was acquired by Google in 2014 but over the years it became apparent that the resources needed were much too expensive to continue on as is the company faced criticism when it turned for-profit and capped investor returns at 100 times this decision led to backlash from employees and the public for going back on their mission in 2018 Elon Musk left the company's board over conflicts of interest and even commented that open AI should be more open despite these challenges open AI has continued to make waves in the AI industry in 2019 Microsoft invested one billion dollars into the company and last year openai launched Dal E2 an AI art generator the company is currently valued at 20 billion dollars and charges other companies just pennies for the use of its technology including text and image generation while much of the inner workings are still unknown to the public inside sources predict the company will bring in 200 million dollars in 2023 and make one billion dollars in Revenue by 2024. today we can use AI to write poetry compose music I write computer programs this very quickly we can end up in a place where machines are far more capable than us in safe science and they can help us solve very hard scientific problems that humans are not capable of solving themselves the impact of open ai's technology extends far beyond just the company itself the ethics and safety of artificial intelligence are certainly Up For Debate but that's not what we're here to discuss openai is a private organization so it's not traded on the stock market but many other Industries will benefit from the tech While others may be disrupted by it let's take a look at some [Music] foreign PPT spell trouble for Tech Giant Google some experts believe so why perform a Google search when AI can give you answers directly Google certainly noticed the threat a code red was issued by Google execs calling it a make or break for Google's future Google dominates the search Market with nearly 90 percent market share for the majority of Google's history there hasn't been any serious potential game changers enter chat GPT instead of going through pages of search results someone could simply ask chat GPT a question and the AI will provide a fairly decent answer that's the existential threat for Google owned by parent company alphabet in 2021 71 of alphabets Revenue came from Google search and without it Google could be in serious trouble Google isn't taking this threat lightly the company has its own chatbot Lambda which Rivals chat GPT I'm so curious about you I sense your excitement ask me anything tell me what I would see if I visited you would get to see a massive Canyon however the decision to launch Lambda carries the risk of cannibalizing Google's own search Revenue despite the potential threat posed by chat GPT Google still has a few advantages the company is more Diversified than it was in its early days with nearly 20 percent of its business coming from Google cloud and YouTube ads and Google has another Edge profits luckily for Google these AI chat Bots have yet to find a sustainable business model running these chats requires a lot of computing power which gets expensive each chat is estimated to cost single digit sense an associate professor at the University of Maryland estimates the cost to run chat GPT around 3 million dollars a month in comparison Google processes over 8.5 billion searches per day if AI chat searches reach even a fraction of these levels it'll cost these AI companies an enormous sum they're also burning heaps of cash while relying on investor funding still that doesn't mean Google isn't in trouble [Music] oh hey knock it off there's a kid back there I open AI Works closely with Microsoft which owns the second largest search engine Bing alphabet and Microsoft also compete heavily in several areas so it remains to be seen how this AI chatbot Showdown will play out now we look at the ultimate bull case of chat GPT one of the biggest challenges to chat gpt's widespread adoption is the computational capacity required to run it and other AI models chat GPT chat GPT chat GPT chat GPT chat GPT in the first week since launch demand was so high that chat GPT had to implement a q system to prevent it from going down to overcome this bottleneck and scale these Technologies companies may turn to supercomputers or specialized Hardware architectures both of which rely on Advanced semiconductor chips Chad GPT is only one subset of a range of artificial intelligence tools training other AI models also requires heavy computational power this brings us to the bull case for Semiconductor stocks the semiconductor industry which designs and manufactures chips that power nearly all electronic devices has seen its share of ups and downs the iShare semiconductor ETF which tracks a basket of semiconductor stocks is down nearly 40 percent this year the semiconductor industry is highly cyclical performing well during economic booms but underperforming during recessions over the past decade the industry has been a top performer powered by the growth of gaming cloud computing and other technological advancements and the demand for Semiconductor chips in the AI industry is expected to double between 2020 and 2025 as the technology continues to advance and reach its full potential if chat GPT and other AI tools take off they could drive the next wave of growth in the semiconductor industry stay tuned to see how this story develops the potential disruption caused by artificial intelligence tools developed by openai extends Beyond Google AI will completely disrupt many Industries while benefiting others for many these AI tools will improve efficiency and boost profitability here are some examples of how companies can adopt these tools marketers are already using AI tools to pump out blog posts and social media content software Engineers can use chat GPT to help write code using a few prompts it's the classic Automation and AI stealing jobs argument except this time AI tools like these could potentially replace white collar and knowledge workers which could have significant implications for wages this is often a company's largest expense and tech companies pay significant compensation packages to retain employees luckily robots don't need stock options profit margins of U.S companies are already at their highest in 70 years AI tools will likely make them more profitable there are already many use cases for the technology for example Getty Images a two billion dollar publicly traded company that licenses stock photos has banned the use of AI generated images while Adobe is accepting them literally hundreds of startups are emerging based on chat GPT Ellie is an AI tool that helps users reply to emails write Sonic helps writers create long-form articles using AI Synthesia uses AI to assist in video creation and editing some of these will go on to become billion dollar businesses but many will fail platforms like Fiverr and upwork are popular for finding outsourced workers but many jobs on these platforms like copywriters designers and developers could be replaced by ai ai could also have a significant impact on Industries like content creation which is one of the highest costs for streaming platforms like Netflix and Disney it can take several months to create a 10 minute animation AI tools could be used to generate story Concepts help with editing or even create actual scenes to speed up the process in the future it may be difficult to distinguish between human and robot communication as AI tools are even being used to automatically reply to Twitter posts are you real well if you can't tell does it matter while AI has come a long way in recent years it still has its fair share of flaws a major one being the inaccuracy in its answers the developer q a community stack Overflow had to temporarily ban chat GPT answers due to the vast amount of incorrect code being added and it's not just technical errors that have raised concerns users quickly shared inaccurate answers online of chat GPT failing basic calculations no there aren't 1440 minutes in 60 days or even giving concerning answers when asked about Humanity in which it says we're inferior selfish and destructive creatures there are also fears about the potential for AI to spread misinformation and be misused leading to negative impacts on human society even Elon Musk has described the current state of AI as scary good but it's clear we're not quite there yet openai CEO warned that chat GPT is incredibly limited and it's a mistake to be relying on it for anything important right now despite these challenges the potential applications for AI are endless as it improves over time we'll see many more business opportunity emerge billion dollar businesses will be built and fortunes will be destroyed it's important to remember that we're only in the first inning and there's still lots of work to be done open ai's accomplishment in seven years are nothing short of impressive just imagine what it can do in 20 years what about 100 years perhaps a dystopian future isn't so far away if you enjoyed this content subscribe to our free four times Weekly Newsletter that covers investing Trends news and Analysis it's called the average gel and it'll help you become a better investor concise informative and only takes five minutes to read subscribe for free using the link in our description or head over to readthejoe.com [Music] thanks for watching let us know your thoughts in the comments below and we'll see you on the next episode of The Best of investing hit that subscribe button so you don't miss out on future videos about the future of artificial intelligence and its potential implications for investors

Channel: Best of Investing

Views: 199,255

Keywords: artificial intelligence, chatgpt, openai, ai stocks, deepmind, google competitor, chatgpt investing, semiconductor investment, generative ai, openai invest, ai investing, openai chatgpt explained, artificial intelligence investing, dall e 2, investing in ai, openai stock, openai business, chat gpt explained, chat gpt to make money, openai chatbot, open ai chat gpt app, ai invest, google chat gpt, chat gpt google killer, chat gpt google

Id: jO0-ZSi3zDc

Length: 13min 22sec (802 seconds)

Published: Mon Jan 02 2023