AI models are like babies: continuous growth spurts make them more fussy and needy. As the AI race heats up, frontrunners such as OpenAI, Google, and Microsoft are throwing billions at massive foundational AI models comprising hundreds of billions of parameters. However, they may be losing the plot.
Size matters
Big tech firms are constantly striving to make AI models bigger. OpenAI recently introduced GPT-4o, a huge multimodal model that “can reason across audio, vision, and text in real time.” Meanwhile, Meta and Google both developed new and enhanced LLMs, while Microsoft built its own, known as MAI-1.
And these companies aren’t cutting corners. Microsoft’s capital investment increased to $14 billion in the most recent quarter, and the company expects that figure to rise further. Meta cautioned that its spending could exceed $40 billion. Google’s concepts may be even more costly.
Demis Hassabis, CEO of Google
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