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Microsoft and OpenAI have a financial definition of AGI: Report

December 26, 2024 | by AI

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Microsoft and OpenAI’s Unique Take on Artificial General Intelligence

When we think about Artificial General Intelligence (AGI), visions of highly capable machines often come to mind. However, Microsoft and OpenAI have taken a unique approach, defining AGI more as a financial milestone than a technological one. According to a recent report from The Information, the two companies have agreed that OpenAI will have achieved AGI when its AI systems generate $100 billion in profits.

This perspective is quite different from the traditional understanding of AGI, which is often seen as AI reaching human-like cognitive abilities. As it stands, OpenAI is still quite a distance from this financial marker, with projections indicating continued losses until at least 2029.

  • OpenAI’s expected profitability timeline extends to 2029.
  • Microsoft retains access to OpenAI’s technology until AGI is declared.
  • The o3 model has sparked discussions about advancements toward AGI.

“The idea of AGI varies significantly across the tech landscape, with each entity interpreting it through their own lens.”

{Industry Expert}

One might wonder why Microsoft and OpenAI have chosen such a profit-centric definition. It’s important because this agreement ensures Microsoft maintains access to OpenAI’s innovations until this financial threshold is met. Despite some speculation that OpenAI might declare AGI prematurely to gain an upper hand, this arrangement provides Microsoft with potential long-term collaboration benefits.

Recently, discussions around the new o3 model have highlighted its improved performance compared to other AI models. However, it’s also accompanied by significant computing costs, which could challenge the profit-driven definition of AGI that Microsoft and OpenAI are pursuing.

In conclusion, while the quest for AGI continues to evolve in diverse ways globally, the approach by Microsoft and OpenAI adds an intriguing layer of complexity to the pursuit. As both companies navigate these waters, only time will tell how their unique definition will shape the future of artificial intelligence.

Image Credit: fauxels on Pexels

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