Open AI Gemini

“I gemiti di OpenAI” we whould say in Italian. It seems Google Gemini is catching up ChatGPT in a strong way. Let’s undertand what does it imply.

Google new TPU chip rocks. Google stared to design Tensor Processing Unit chips around 2013 and TPU was unveiled around 2016. Ten years later, these chips seems more effective than the NVIDIA-solutions OpenAI is pushing. So Google uses a vertical in-house solution to gfight the AI battle: Gemini seems on par with ChatGPT (or better) and Altman seems to have some trouble to defend its leadership position. For the first time in the last 3 years, Google seems to be able to excel and lead this business.

On the other side Anthropic is working on an Initial Public Offering (IPO) and acquired BUN and this news got a lot of attention on Hacker News. BUN is Javascript Engine which compete with nodejs, it used internally by Anthropic: this move shows a more stategical approach of Anthropic which want to enforce its position on the SDK side used to integrate with its chatbots.

Difficult to see. Always in motion is the future

I started a deep monitor of Generative AI on March 2024, and after almost 2 years is still challenging to predict the evolution of this technology; some hot points:

1. OpenAI is becoming ’the ChatGPT company’: it is a no profit anymore and the competition with Gemini is focusing OpenAI on ChatGPT, not on other products, at least for the next few months.
2. Google on the other side has a very good product and a very aggressive starter plan for Gemini, with around 8 $/month for AI Plus, which is more or less half Netflix subscription.
3. Any Company needs to increase its revenues to stay alive on the market: some companies have a Price/Earning (P/E) evaluation of 38, which means the stock price is 38x the revenue we see so far. We can infer revenues are not selling point for the stock market, but it will in the future. This situation can lead to instability in the long run. We shall see.