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This Week in AI: OpenAI's talent retention woes | TechCrunch

Aug 08, 2024 - news.bensbites.com
OpenAI co-founder John Schulman has left the company to join rival Anthropic, amid a period of uncertainty for OpenAI. The company is reportedly on track to lose $5 billion this year and may need to raise a significant amount of cash within the next 12 to 24 months to cover rising costs. The departure of Schulman coincides with OpenAI president Greg Brockman's extended leave and the company's decision to change the format of its DevDay event. OpenAI's future is uncertain, with potential changes to its capped-profit structure and a move away from its original mission.

In other news, Apple's Intelligence features have limitations, Google's Nest Learning Thermostat is getting a makeover, and a YouTuber is suing OpenAI for allegedly training its AI models on YouTube video transcripts without permission. AI lobbying is increasing at the U.S. federal level, and a new image-generating model, Flux.1, developed by Black Forest Labs, is giving competitors a run for their money. Generative AI companies are increasingly using the fair use defense when training models on copyrighted data without permission.

Key takeaways:

  • John Schulman, co-founder of OpenAI, has left the company for rival Anthropic, amid concerns about the company's financial stability and departure from its original mission.
  • OpenAI is reportedly on track to lose $5 billion this year and will need to raise a significant amount of cash within the next 12 to 24 months to cover rising costs.
  • OpenAI's current flagship, GPT-4o, is progressing at a slow pace, with no new model announced during its DevDay event.
  • Generative AI companies, including OpenAI, are facing legal challenges over training models on copyrighted data without the owners' permission, with some arguing for a fair use defense.
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