Elon Musk and Sam Altman dispute spotlights AI race

[0:01] and welcome back to search today's top searches are only part of the story a simple scroll [0:05] can sometimes take you down that deep rabbit hole it's time now for the spiral all right [0:18] so it looks like you want to know more about what's going on between elon musk and open ai [0:22] founder sam altman so we're following your clicks and your curiosity right now you guys are also [0:27] looking for a breakdown of the legal battle between the two tech giants and what this all [0:31] means for how the ai landscape is shaping up and a lot's going on so let's break it down here [0:36] a tale of two mics right now mike debuski right here up first and we also have mike muse gentlemen [0:42] thank you so much for joining us here all right so let's start with the legal battle between the [0:45] billionaires there's a lot of searches about what's going on between elon musk and sam altman [0:50] mike debuski follows all things tech for us and mike you're working hard at your desk right now [0:55] in our new york newsroom so take us through this case elon musk claims that open ai owes him more [1:00] than 138 billion dollars so is that true yeah so we heard from elon musk on the stand this afternoon [1:09] geo in an oakland california courtroom and he is basically accusing sam altman of destroying a [1:15] charitable institution that he co-founded alongside altman back in 2015. so to go back into some recent [1:22] history here open ai was founded as a non-profit by these two men more than a decade ago to develop [1:28] artificial intelligence with the goal of creating good for all humanity and they said that a [1:34] non-profit was the way to do that now as time went on open ai's structure kind of changed they [1:39] eventually had like a for-profit business that was under a non-profit umbrella it was kind of [1:44] unconventional and last year open ai transitioned from a non-profit business to a traditional for-profit [1:50] business they make revenue from subscription services and selling apis and catering to investors [1:56] and what have you musk says that is basically a betrayal of his trust and that's why he's taking [2:01] altman to court in california this week geo mike people are searching right now is this about power [2:07] or money what is musk saying that he's really looking for here musk is basically looking for open ai [2:14] to reverse its decision for it to go back to being a non-profit with that original sort of founding ethos of [2:20] developing ai for the good of humanity and for that company to pay back all the profits it's made [2:27] as a for-profit enterprise to the company's charity now geo that would radically reshape what is really [2:33] regarded as the most prominent artificial intelligence company going right now though if you talk to legal [2:39] experts they say that elon musk has a pretty big hill to climb here let's not forget that it's heavily [2:44] rumored that open ai is going to go public later today and or later this year i should say and all [2:50] of what is presented at trial here is going to have a big impact on that ipo well let's let's talk about [2:55] that because all these headlines that we're seeing about open ai wanting to go public making that stock [3:00] market debut so does this case impact that at all yeah very possibly you can imagine that investors [3:07] are going to be watching this very closely when they consider how to look at this public offering but [3:12] it's also worth mentioning that elon musk is not without risk here either it is also expected that [3:17] spacex one of his most prominent companies is going to go public later this year as well to the tune [3:22] of nearly a trillion dollars so what is said on one side could potentially impact what is happening on [3:29] the other side here geo really underscoring just how high stakes this moment is as we look at this clash [3:35] of personalities all right mike debusky following that thank you so much and from one mike we go to the other [3:40] one mike muse for more tech talk specifically about the ai race and what seems to look like a power [3:45] struggle here all right mike so the most searched for question right now is what is the ai model race [3:54] the ai model race is all these companies like open ai elon musk has his own company x ai in addition to [4:04] anthropic they're all trying to make the best generative ai products including anthropic the best [4:11] generative ai products that consumers would be able to use globally they're trying to build quick [4:16] they're trying to build fast and they're trying to build at scale and they're trying to make each [4:20] product individualistic enough so that it also to differentiate differentiate them enough from the [4:25] other competitors that consumers want to use their products over the others but then you also too on [4:31] the other side have what's called the cloud race too as well so you have microsoft with azure you have [4:37] amazon with aws and then you have google with google cloud also too trying to compete with cloud [4:42] services as well and then you have the compute race and that is the microprocessor chips that are [4:47] used to power artificial intelligence and then the fourth thing for the ai race is you have data centers [4:53] everyone is racing to come on board to build their own data centers in order to power the technology [4:58] that will be needed from all those four different buckets so four different models there geo all right [5:03] that's a lot yeah so do you think the case between musk and altman impacts that race at all it impacts [5:11] it raised from two buckets uh one of the buckets will be from the data center perspective and then [5:15] the third bucket will be from the generative ai the real question is besides money and power the thing [5:20] that we're not discussing as of now is the fact that uh the vested interest that elon musk has um as well [5:26] as anthropic and as well as any other startups in the generative ai space if they're able to knock [5:32] open ai off of its square off of its dominant position uh and also to hit them economically [5:37] so they can't advance and do more research and invest in data centers then the competition becomes [5:43] much more competitive for elon musk uh lab x ai uh in addition to anthropic those are the biggest [5:50] threats that opening i has in terms of competition so the question really is about money and power or is [5:54] it about leveling the playing field to make it more competitive for elon musk and it'll be interesting [5:59] to see how does open ai's lawyers present that in front of the jury what do you think is shaping [6:03] this whole ai race what what could it look like down the road uh open air was laid down the road [6:13] in terms of what's shaping the air race down the road it again it's about the generative [6:18] ai products in terms of the advancement that it could make um also to looking at each individual [6:23] idea so you have anthropic which has been highly on the competitive heels of open ai they're leaning more [6:29] into the generative ai space and making their outputs very much conversational and more user [6:33] friendly so that users can enjoy it more open ai is facing a challenge right now since they were [6:38] first in this space they are at the risk of being a catch-all for everything so what you see them doing [6:44] right now is scaling back they were heavily invested in soar which has been come offline now [6:49] they were in since invested in images google's bananas uh generative ai program is much more advanced [6:55] to that so they are going to double down what they started out doing first which is generative ai and [6:59] so from a consumer facing perspective it's going to be generative ai but there also too is a race to [7:05] get to the finish line with data centers the more data centers you have online the better you actually [7:10] have to create more research and more products that consumers will want to use so the challenge is [7:15] scaling not too fast doing what you're great at um so that consumers will be interested in using your [7:20] product an incredibly fast moving situation going on there mike muse thank you so much my man