Need to Know News - October 9th, 2024
In this week's Need to Know News edition...new AI-powered video editing tools for Facebook Ads...Zoom is letting AI avatars talk for you...why the O.G. of tech startups says AI changes everything...plus, a whole lot more!
AI In Action
Princeton Physicist Wins Physics Nobel Prize for Pioneering AI Research
American professor John J. Hopfield and British Canadian professor Geoffrey E. Hinton have been awarded the Nobel Prize in Physics for their pioneering research that laid the foundation for modern artificial intelligence. Their work, dating back to the 1980s, has been instrumental in the development of machine learning, which enables computers to learn from vast amounts of data.
Hopfield's invention of the "Hopfield network" in 1982 paved the way for neural networks that mimic certain functions of the human brain. Hinton, often referred to as one of the "godfathers of AI," built upon this work to create networks capable of recognizing shared characteristics in large datasets.
Meta Expands Gen AI Tools to Video Ads As Platform Competition Ramps Up
Meta has unveiled new generative AI ad tools focused on video generation for Facebook and Instagram. With 60% of users' time spent watching videos on these platforms, the social media giant aims to help advertisers capitalize on this trend.
The new features include Video Expansion, which adjusts aspect ratios for a more immersive experience, and Image Animation, allowing brands to create dynamic video content from static images. Early results show an 11% higher click-through rate and 7.6% higher conversion rate for campaigns using these tools. However, Meta faces stiff competition from rival platforms like TikTok, which offers advanced video generation capabilities.
🚀 Discover the 27 ‘Plug-and-Play’ AI Prompts Every Marketer Needs
Access All 27 Prompts Here ==>
The Rise of VaaS: How AI Is Redefining SaaS Pricing Models
As AI transforms industries, the traditional per-seat pricing model for SaaS companies is becoming obsolete. With AI handling tasks previously done by humans, fewer "seats" are needed, prompting a shift towards value-based pricing. Salesforce has already adapted, charging $2 per conversation on its new Agentforce platform.
To stay competitive, SaaS providers must adopt outcome-based pricing, charging for the value their AI-driven products deliver. This could involve tiered pricing based on the balance of human and AI tasks, or usage-based models where businesses pay for interactions or tickets resolved by AI. Additionally, SaaS companies should reframe their value propositions to highlight AI's strategic advantages, such as predictive insights and real-time optimization.
The O.G. of Tech Startups Says AI Changes Everything
In a thought-provoking interview, Steve Blank, the pioneer of the lean startup methodology, shares his insights on how AI is set to revolutionize entrepreneurship and innovation. Blank envisions AI automating the process of testing hypotheses, developing products, and creating businesses at an unprecedented speed, potentially outpacing human capabilities.
He advises inventors to stay updated on the latest advancements in their field, as the rapid pace of change could significantly impact their work. While acknowledging that AI may replace certain jobs, he remains optimistic, drawing parallels to historical technological shifts that ultimately led to the evolution of roles rather than mass unemployment.
Stripe and Nvidia to Expand Financial Platform’s AI-Powered Features
The collaboration will not only enhance Stripe's artificial intelligence capabilities but also enable developers and enterprises to prepay for select Nvidia cloud services, increasing accessibility to Nvidia's GPUs and AI software on a global scale.
Stripe's AI-driven features, such as the Optimized Checkout Suite for determining payment methods, Stripe Radar for improved fraud detection, and Radar Assistant for setting fraud rules using natural language prompts, are set to benefit from this expanded partnership. By leveraging Nvidia's technology, Stripe aims to further advance its AI and provide even better fraud detection for its customers.
At the Frontier of AI
Marketers Expect AI to Improve Retail Media Recommendations
A recent study reveals that over half of US agency and marketing decision-makers anticipate AI will enhance retail media by providing superior insights and recommendations. This optimism extends beyond the US, with 45% of global marketing professionals embracing AI and machine learning to deliver personalized recommendations based on consumer behavior.
Uber to Launch AI Assistant Powered by OpenAI's GPT-4o to Help Drivers Go Electric
Uber Technologies is set to introduce an AI assistant powered by OpenAI's GPT-4o to support drivers transitioning to electric vehicles. The AI chatbot, launching early next year in the US, will provide personalized answers tailored to each driver's city and eligible incentives. Uber CEO Dara Khosrowshahi highlighted that Uber drivers are adopting EVs five times faster than the average motorist in the US, Canada, and Europe, with nearly 30% of all miles driven on Uber in London now being electric.
OpenAI Backer Khosla Says It’s Reasonable to Invest Trillions in AI
Eearly OpenAI investor Vinod Khosla asserted that investing trillions in artificial intelligence is not unreasonable, predicting a dramatic increase in global GDP within the next decade. Khosla believes that if harnessed correctly and distributed equitably, AI could create a world of abundance where everyone enjoys an elevated standard of living.
While acknowledging the impressive progress of AI so far, Khosla argues that the current impact is "relatively trivial" compared to what lies ahead. He anticipates a "relentless tsunami of capabilities" that will continue to surprise us every few months.
As the smartest engineers flock to the AI industry, Khosla expects the rate of progress to accelerate, with the potential for another 10,000-fold improvement in the next 18 months to two years, making trillion-dollar investments seem justified.
OpenAI Raises $6.6 billion to Build Ever-Larger AI Models
The funding round, led by Thrive Capital with a $1 billion commitment, is contingent on OpenAI restructuring as a for-profit company within the next two years. This historic investment values OpenAI at approximately 40 times its reported monthly revenue of $300 million in August. The billions raised will be directed towards the costly endeavor of training frontier AI models, with OpenAI focusing on developing a series of "reasoning" models
Zoom Will Let AI Avatars Talk to Your Team for You
Imagine sending an AI avatar that looks and sounds just like you to your next team meeting. That's exactly what Zoom is making possible as part of its latest AI expansion. By recording an initial video of yourself, Zoom's AI will create a digital twin that can deliver brief messages to your colleagues on your behalf.
This feature, set to roll out early next year, will be available through Zoom's custom AI Companion add-on at an additional cost of $12 per month. Zoom CEO Eric Yuan envisions a future where AI can fully automate certain aspects of work, allowing users to focus on other tasks or even take a beach day. While the company is taking precautions to prevent deepfakes, the prospect of AI avatars attending meetings is both exciting and a bit unnerving.
Got 15 Seconds?
Thanks for reading.
Until next time!
The AI Marketers
