ChatGPT, made by OpenAI, is a new technology in AI. People wonder if it’s worth investing in. It’s part of a type of AI called generative AI. Generative AI can make text, images, or sounds when users ask.
Experts think the global AI market will grow a lot by 2032. They say it will grow about 19% every year.
It’s hard to say how much ChatGPT will affect this. But in December 2023, S&P Global said generative AI could grow by 57.9% each year until 2028. It could go from making $3.7 billion to $36.36 billion.
OpenAI stirred up trouble, making people worried about job loss and spreading lies. They also removed their CEO, Sam Altman, suddenly.
Lawsuits popped up. Big newspapers, like the New York Times, sued OpenAI for copying. Some are even suing Microsoft too.
The Authors Guild, a group of famous writers, sued OpenAI. They want a system where authors can choose if their work is used to train AI. They also want AI companies to pay for the material they use.
People are excited about generative AI. Investors want to invest in OpenAI’s ChatGPT and other generative AI. The Investing News Network (INN) talks about this new situation.
What does ChatGPT from OpenAI do?
San Francisco-based tech lab OpenAI made ChatGPT. It’s a software that uses a method called reinforcement learning from human feedback. This makes it act like humans in conversations. It’s known as an AI chatbot.
ChatGPT learns language by reading texts from the internet. It looks at online encyclopedias, books, academic journals, news sites, and blogs.
Using this learning, the AI chatbot predicts which words can go together to make a good response.
Over a million people talked to ChatGPT when it launched on November 30, 2022. People liked how it talked and responded. It felt like chatting with a real person.
ChatGPT can do more than just chat. It can write stories, make marketing stuff, solve math, and write code.
Because of ChatGPT’s success, OpenAI made a better version called GPT-4. It came out in March 2023. Only paying ChatGPT users and Microsoft Copilot users can access it.
The new version of ChatGPT can understand pictures, is more accurate, and knows a lot about different topics. It’s good at explaining images and doing well on tests.
Unlike the old one, this ChatGPT doesn’t have any limits on what it knows. But Dr. Oren Etzioni, an AI expert, says it’s not good at talking about the future or coming up with new ideas.
It still sometimes gives wrong answers with too much confidence.
How is Elon Musk connected to OpenAI?
In 2015, Altman, who is now CEO, along with Elon Musk from Tesla and other investors, founded OpenAI.
In 2018, Musk left OpenAI’s board to focus on Tesla’s self-driving tech.
After ChatGPT launched for public testing, Musk said on X, previously called Twitter, “ChatGPT is impressively good. We’re getting close to very powerful AI.” He also said X stopped OpenAI from using its database for training.
In March 2024, Musk sued OpenAI, claiming they broke an agreement about the company staying non-profit. OpenAI denies this and says Musk wanted it to become for-profit eventually.
OpenAI acknowledges that before ChatGPT can be used more widely, a difficult bug needs fixing. The bug makes the chatbot sometimes give answers that sound believable but are wrong or don’t make sense.
The company says that ChatGPT’s word choices are predictions, not just guesses, but they can still be wrong. Even the latest 4.0 version isn’t completely reliable; it can “hallucinate” facts and make mistakes in reasoning.
Users should be careful when using ChatGPT, warns OpenAI. Its mistakes can have serious consequences. The technology could spread false information, carry out scams, or create harmful code.
Additionally, AI technology can show unfairness towards race and gender. This language model has learned human-like qualities, including some negative traits. Teachers worry that students are using ChatGPT to cheat on homework and essays.
Why is Microsoft investing in OpenAI?
Microsoft has put in over $3 billion in OpenAI since 2019. This helps OpenAI build its very strong AI chatbot.
In mid-January 2023, Microsoft said it will invest more. It’s part of their ongoing partnership with OpenAI.
The exact amount Microsoft is spending now hasn’t been revealed. But reports say it could be $10 billion.
OpenAI’s value is $80 billion, says Reuters in February. If Microsoft invests $10 billion, it’s a big deal.
However, by late 2023, rumors spread that OpenAI got only a part of that investment.
What might Microsoft gain from investing?
Microsoft hopes that advances in generative AI can boost profits for its Azure cloud computing business. OpenAI licensed its technologies to Microsoft in 2020. This deal is seen as a big step for generative AI, according to Pitchbook.
What’s next for OpenAI and ChatGPT?
ChatGPT 3.5 is available for free on the web. It’s also on iPhone and iPad apps, and since July 2023, on Android too.
For businesses, there’s ChatGPT Plus, launched in August 2023. It offers access to the latest version, GPT-4.
Other companies, like Canva, Duolingo, Intercom, Salesforce, Scale, Stripe, and Upwork, are teaming up with OpenAI to use ChatGPT in their services.
Generative AI is taking over some jobs from humans, like making content and helping customers. This trend might continue in fields such as transcription, translation, graphic design, and law.
But some people are fighting back. OpenAI and Microsoft faced lawsuits from authors who claim their books were used without permission to train ChatGPT and other AI programs.
What’s Google’s Bard AI?
While ChatGPT gets a lot of attention, it’s not the only chatbot. Bard works similarly to ChatGPT.
Bard has an advantage over early ChatGPT because it can use new online information. But it still makes mistakes like ChatGPT, spreading wrong information.
According to The Verge, Bard made a mistake in its first demo, talking about the James Webb Space Telescope.
In early 2024, Google renamed Bard as Gemini AI, now using Google’s Gemini Ultra large language model.
