The author identifies data and middleware as the most promising investment areas. They believe that future generative AI applications will use more precise or proprietary data, combined with the right middleware architecture, to create specialized models that power the application layer. They are also bullish on infrastructure and tooling companies that ensure safety, accuracy, and privacy across model outputs, orchestrate inference across multiple models, and optimize the incorporation of proprietary data into large language models.
Key takeaways:
- The launch of ChatGPT in November 2022 marked the beginning of the Age of AI, significantly impacting the tech industry.
- Generative AI is composed of several layers including data, middleware, fine-tuned specialized models, the cloud and infrastructure layer, foundational models, and the application layer.
- One of the greatest challenges and opportunities in generative AI is the accuracy and reliability of the information it provides, with future applications likely to use more precise or proprietary data.
- The middleware layer of the generative AI stack, which supports the development of new applications, is a key area of investment interest, particularly companies that ensure safety, accuracy, and privacy across model outputs.