Part 1/7:

The Slowing Pace of AI Innovation

According to a recent Bloomberg article, major AI companies like OpenAI, Google, and Anthropic are struggling to build their next-generation models, indicating a slowdown in the pace of innovation.

ChatGPT's Incremental Improvements

The article suggests that the model known as "Orion" at OpenAI did not meet the company's desired performance, according to two people familiar with the matter. This is not entirely surprising, as each iteration of a technology like ChatGPT is unlikely to see the same level of dramatic improvement as the initial versions. Just like new iPhone releases, the incremental changes become less noticeable over time.

The article also mentions that an upcoming iteration of Google's "Gemini" software is not living up to internal expectations, and Anthropic has seen the timeline slip for the release of its long-awaited "Cloud 3.5 Opus" model.

Potential Bottlenecks and Algorithmic Unlocks

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