Big Tech Companies Racing to Unveil AI Software to Fuel Spending
Big tech companies like Microsoft and Google are racing to unveil new software to fuel AI spending, according to recent reports. Microsoft is working on automating tasks such as invoicing and rewriting code for applications using OpenAI’s technology, while Google’s DeepMind arm is developing AI “agents” to carry out tasks like working on multiple apps simultaneously.
While these high-profile AI firms are making strides in developing new technologies, small and mid-sized businesses are struggling to keep up, as highlighted in the 2024 AI Index report from Stanford University. The report emphasizes the growing AI divide between large tech companies and smaller firms, citing the lack of resources and talent for smaller businesses to directly compete.
Despite the challenges, there is hope for smaller businesses to leverage open-source AI models like Llama 2 and Mistral to improve productivity. Generative AI technologies, such as OpenAI’s ChatGPT, have the potential to enhance productivity but also pose risks of disrupting employment patterns.
Private investment in AI saw a significant increase last year, particularly in generative AI, with companies like OpenAI and Hugging Face reporting substantial fundraising efforts. While the costs of adopting AI are high, the real expenses lie in training the systems. Companies can benefit from adopting existing models through open source or cost-accessible APIs to mitigate training costs.
Overall, the race to develop AI software is heating up among big tech companies, while smaller businesses are exploring ways to leverage AI technologies to stay competitive in the evolving landscape.
