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Every time OpenAI cuts a check for training data, an unlaunched competitive startup dies. Without a ‘safe harbor,’ AI will be ruled by incumbents.

Feb 23, 2024 - hunterwalk.com
The article discusses the challenges faced by AI startups due to the high costs associated with acquiring training data. Large tech companies like Google and OpenAI are creating a barrier to entry by establishing high costs for training data, which hinders competition and innovation. The author suggests that current business deals are a substitute for unclear copyright and usage laws, and that regulations need to be updated to protect rights owners and allow for fair use.

The author proposes the creation of an 'AI Safe Harbor' to protect AI startups from legal repercussions, provided they meet certain conditions. These conditions include transparency, providing prompt logs for research, documented trust and safety protocols, and auditable frameworks for measuring results. The author also suggests that the government could support startups by making large amounts of data available to them. The author concludes by emphasizing the need for action to prevent the monopolization of the AI industry by large tech companies.

Key takeaways:

  • The current business model of large tech companies like Google and OpenAI, which involves high costs for training data, is creating a barrier to entry for new competitors.
  • There is a need for updated regulations and a 'safe harbor' for AI startups to experiment without fear of legal repercussions, provided they meet certain conditions.
  • These conditions could include transparency about training data, providing prompt logs for research, documented trust and safety protocols, and auditable frameworks for measuring results.
  • The government could support this by making large amounts of data available to US startups, encouraging them to incorporate and create jobs in the US.
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