Generative AI hype: some thoughts

The sudden surge in "generative AI" startups and projects feels like the inverse of the recent "web3" boom. Both came from hyped-up pots. But while web3 hyped idealistic tech and an easy way to make money, generative AI hypes unsettling tech and questions whether it can be used to make money.

Web3 is technology looking for problems to solve, while generative AI is technology creating almost too many solutions. Web3 has been evangelists trying to solve old problems with new technology. As Generative AI evolves, users are resolving old problems in stunning new ways.

It's a jab at web3, but it's true. Web3's hype, including crypto, was unhealthy. Always expected a tech crash and shakeout. Tech that won't look like "web3" but will enhance "web2"

But that doesn't mean AI hype is healthy. There'll be plenty of bullshit here, too. As moths to a flame, hype attracts charlatans. Again, the difference is the different starting point. People want to use it. Try it.

With the beta launch of Dall-E 2 earlier this year, a new class of consumer product took off. Midjourney followed suit (despite having to jump through the Discord server hoops). Twelve more generative art projects. Lensa, Prisma Labs' generative AI self-portrait project, may have topped the hype (a startup which has actually been going after this general space for quite a while). This week, ChatGPT went off-topic.

This has a "fake-it-till-you-make-it" vibe. We give these projects too much credit because they create easy illusions. This also unlocks new forms of creativity. And faith in new possibilities.

As a user, it's thrilling. We're just getting started. These projects are not only fun to play with, but each week brings a new breakthrough. As an investor, it's all happening so fast, with so much hype (and ethical and societal questions), that no one knows how it will turn out. Web3's demand won't be the issue. Too much demand may cause servers to melt down, sending costs soaring. Companies will try to mix rapidly evolving tech to meet user demand and create businesses. Frustratingly difficult.

Anyway, I wanted an excuse to post some Lensa selfies.

These are really weird. I recognize them as me or a version of me, but I have no memory of them being taken. It's surreal, out-of-body. Uncanny Valley.

As technology develops, you should stay up to date

You don't want to fall behind, do you? This post covers 7 tech-related things you should know.

You'll learn how to operate your computer (and other electronic devices) like an expert and how to leverage the Internet and social media to create your brand and business. Read on to stay relevant in today's tech-driven environment.

You must learn how to code.

Future-language is coding. It's how we and computers talk. Learn coding to keep ahead.

Try Codecademy or Code School. There are also numerous free courses like Coursera or Udacity, but they take a long time and aren't necessarily self-paced, so it can be challenging to find the time.

Artificial intelligence (AI) will transform all jobs.

Our skillsets must adapt with technology. AI is a must-know topic. AI will revolutionize every employment due to advances in machine learning.

Here are seven AI subjects you must know.

What is artificial intelligence?

How does artificial intelligence work?

What are some examples of AI applications?

How can I use artificial intelligence in my day-to-day life?

What jobs have a high chance of being replaced by artificial intelligence and how can I prepare for this?

Can machines replace humans? What would happen if they did?

How can we manage the social impact of artificial intelligence and automation on human society and individual people?

Blockchain Is Changing the Future

Few of us know how Bitcoin and blockchain technology function or what impact they will have on our lives. Blockchain offers safe, transparent, tamper-proof transactions.

It may alter everything from business to voting. Seven must-know blockchain topics:

1. Describe blockchain.

2. How does the blockchain function?

3. What advantages does blockchain offer?

4. What possible uses for blockchain are there?

5. What are the dangers of blockchain technology?

6. What are my options for using blockchain technology?

7. What does blockchain technology's future hold?

Cryptocurrencies are here to stay

Cryptocurrencies employ cryptography to safeguard transactions and manage unit creation. Decentralized cryptocurrencies aren't controlled by governments or financial institutions.

Bitcoin, the first cryptocurrency, was launched in 2009. Cryptocurrencies can be bought and sold on decentralized exchanges.

Bitcoin is here to stay.

Bitcoin isn't a fad, despite what some say. Since 2009, Bitcoin's popularity has grown. Bitcoin is worth learning about now. Since 2009, Bitcoin has developed steadily.

With other cryptocurrencies emerging, many people are wondering if Bitcoin still has a bright future. Curiosity is natural. Millions of individuals hope their Bitcoin investments will pay off since they're popular now.

Thankfully, they will. Bitcoin is still running strong a decade after its birth. Here's why.

The Internet of Things (IoT) is no longer just a trendy term.

IoT consists of internet-connected physical items. These items can share data. IoT is young but developing fast.

20 billion IoT-connected devices are expected by 2023. So much data! All IT teams must keep up with quickly expanding technologies. Four must-know IoT topics:

1. Recognize the fundamentals: Priorities first! Before diving into more technical lingo, you should have a fundamental understanding of what an IoT system is. Before exploring how something works, it's crucial to understand what you're working with.

2. Recognize Security: Security does not stand still, even as technology advances at a dizzying pace. As IT professionals, it is our duty to be aware of the ways in which our systems are susceptible to intrusion and to ensure that the necessary precautions are taken to protect them.

3. Be able to discuss cloud computing: The cloud has seen various modifications over the past several years once again. The use of cloud computing is also continually changing. Knowing what kind of cloud computing your firm or clients utilize will enable you to make the appropriate recommendations.

4. Bring Your Own Device (BYOD)/Mobile Device Management (MDM) is a topic worth discussing (MDM). The ability of BYOD and MDM rules to lower expenses while boosting productivity among employees who use these services responsibly is a major factor in their continued growth in popularity.

IoT Security is key

As more gadgets connect, they must be secure. IoT security includes securing devices and encrypting data. Seven IoT security must-knows:

1. fundamental security ideas

2. Authorization and identification

3. Cryptography

4. electronic certificates

5. electronic signatures

6. Private key encryption

7. Public key encryption

Final Thoughts

With so much going on in the globe, it can be hard to stay up with technology. We've produced a list of seven tech must-knows.

Why breakthrough technologies must be accessible

ChatGPT has exploded. Over 1 million people have used the app, and coding sites like Stack Overflow have banned its answers. It's huge.

I wouldn't have called that as an AI researcher. ChatGPT uses the same GPT-3 technology that's been around for over two years.

More than impressive technology, ChatGPT 3 shows how access makes breakthroughs usable. OpenAI has finally made people realize the power of AI by packaging GPT-3 for normal users.

We think of Thomas Edison as the inventor of the lightbulb, not because he invented it, but because he popularized it.

Going forward, AI companies that make using AI easy will thrive.

Use-case importance

Most modern AI systems use massive language models. These language models are trained on 6,000+ years of human text.

GPT-3 ate 8 billion pages, almost every book, and Wikipedia. It created an AI that can write sea shanties and solve coding problems.

Nothing new. I began beta testing GPT-3 in 2020, but the system's basics date back further.

Tools like GPT-3 are hidden in many apps. Many of the AI writing assistants on this platform are just wrappers around GPT-3.

Lots of online utilitarian text, like restaurant menu summaries or city guides, is written by AI systems like GPT-3. You've probably read GPT-3 without knowing it.

Accessibility

Why is ChatGPT so popular if the technology is old?

ChatGPT makes the technology accessible. Free to use, people can sign up and text with the chatbot daily. ChatGPT isn't revolutionary. It does it in a way normal people can access and be amazed by.

Accessibility isn't easy. OpenAI's Sam Altman tweeted that opening ChatGPT to the public increased computing costs.

Each chat costs "low-digit cents" to process. OpenAI probably spends several hundred thousand dollars a day to keep ChatGPT running, with no immediate business case.

Academic researchers and others who developed GPT-3 couldn't afford it. Without resources to make technology accessible, it can't be used.

Retrospective

This dynamic is old. In the history of science, a researcher with a breakthrough idea was often overshadowed by an entrepreneur or visionary who made it accessible to the public.

We think of Thomas Edison as the inventor of the lightbulb. But really, Vasilij Petrov, Thomas Wright, and Joseph Swan invented the lightbulb. Edison made technology visible and accessible by electrifying public buildings, building power plants, and wiring.

Edison probably lost a ton of money on stunts like building a power plant to light JP Morgan's home, the NYSE, and several newspaper headquarters.

People wanted electric lights once they saw their benefits. By making the technology accessible and visible, Edison unlocked a hugely profitable market.

Similar things are happening in AI. ChatGPT shows that developing breakthrough technology in the lab or on B2B servers won't change the culture.

AI must engage people's imaginations to become mainstream. Before the tech impacts the world, people must play with it and see its revolutionary power.

As the field evolves, companies that make the technology widely available, even at great cost, will succeed.

OpenAI's compute fees are eye-watering. Revolutions are costly.

Who is AMTD Digital?

An unknown Hong Kong corporation joined the global megacaps worth over $500 billion on Tuesday.

The American Depository Share (ADS) with the ticker code HKD gapped at the open, soaring 25% over the previous closing price as trading began, before hitting an intraday high of $2,555.

At its peak, its market cap was almost $450 billion, more than Facebook parent Meta or Alibaba.

Yahoo Finance reported a daily volume of 350,500 shares, the lowest since the ADS began trading and much below the average of 1.2 million.

Despite losing a fifth of its value on Wednesday, it's still worth more than Toyota, Nike, McDonald's, or Walt Disney.

The company sold 16 million shares at $7.80 each in mid-July, giving it a $1 billion market valuation.

Why the boom?

That market cap seems unjustified.

According to SEC reports, its income-generating assets barely topped $400 million in March. Fortune's emails and calls went unanswered.

Website discloses little about company model. Its one-minute business presentation film uses a Star Wars–like design to sell the company as a "one-stop digital solutions platform in Asia"

The SEC prospectus explains.

AMTD Digital sells a "SpiderNet Ecosystems Solutions" kind of club membership that connects enterprises. This is the bulk of its $25 million annual revenue in April 2021.

Pretax profits have been higher than top line over the past three years due to fair value accounting gains on Appier, DayDayCook, WeDoctor, and five Asian fintechs.

AMTD Group, the company's parent, specializes in investment banking, hotel services, luxury education, and media and entertainment. AMTD IDEA, a $14 billion subsidiary, is also traded on the NYSE.

“Significant volatility”

Why AMTD Digital listed in the U.S. is unknown, as it informed investors in its share offering prospectus that could delist under SEC guidelines.

Beijing's red tape prevents the Sarbanes-Oxley Board from inspecting its Chinese auditor.

This frustrates Chinese stock investors. If the U.S. and China can't achieve a deal, 261 Chinese companies worth $1.3 trillion might be delisted.

Calvin Choi left UBS to become AMTD Group's CEO.

His capitalist background and status as a Young Global Leader with the World Economic Forum don't stop him from praising China's Communist party or celebrating the "glory and dream of the Great Rejuvenation of the Chinese nation" a century after its creation.

Despite having an executive vice chairman with a record of battling corruption and ties to Carrie Lam, Beijing's previous proconsul in Hong Kong, Choi is apparently being targeted for a two-year industry ban by the city's securities regulator after an investor accused Choi of malfeasance.

Some CMIG-funded initiatives produced money, but he didn't give us the proceeds, a corporate official told China's Caixin in October 2020. We don't know if he misappropriated or lost some money.

A seismic anomaly

In fundamental analysis, where companies are valued based on future cash flows, AMTD Digital's mind-boggling market cap is a statistical aberration that should occur once every hundred years.

AMTD Digital doesn't know why it's so valuable. In a thank-you letter to new shareholders, it said it was confused by the stock's performance.

Since its IPO, the company has seen significant ADS price volatility and active trading volume, it said Tuesday. "To our knowledge, there have been no important circumstances, events, or other matters since the IPO date."

Permabears awoke after the jump. Jim Chanos asked if "we're all going to ignore the $400 billion meme stock in the room," while Nate Anderson called AMTD Group "sketchy."

It happened the same day SEC Chair Gary Gensler praised the 20th anniversary of the Sarbanes-Oxley Act, aimed to restore trust in America's financial markets after the Enron and WorldCom accounting fraud scandals.

The run-up revived unpleasant memories of Robinhood's decision to limit retail investors' ability to buy GameStop, regarded as a measure to protect hedge funds invested in the meme company.

Why wasn't HKD's buy button removed? Because retail wasn't behind it?" tweeted Gensler on Tuesday. "Real stock fraud. "You're worthless."

And retire sooner.

Books can make you filthy rich.

If you apply what you learn. In 2011, I was broke and had broken dreams.

Someone suggested I read finance books. One Up On Wall Street was his first recommendation.

Finance books were my crack.

I've read every money book since then. Some are good, but most stink.

These books will make you rich.

The Almanack of Naval Ravikant by Eric Jorgenson

This isn't a cliche book.

This book was inspired by a How to Get Rich tweet thread.

It’s one of the best tweets I’ve ever read.

Naval thinks differently. He nukes ordinary ideas. I've never heard better money advice.

Eric Jorgenson wrote a book about this tweet thread with Navals permission. A must-read, easy-to-digest book.

Best quote

Seek wealth, not money or status. Wealth is having assets that earn while you sleep. Money is how we transfer time and wealth. Status is your place in the social hierarchy — Naval

Morgan Housel's The Psychology of Money

Many finance books advise investing like a dunce.

They almost all peddle the buy an index fund BS. Different book.

It's about money-making psychology. Because any fool can get rich and drunk on their ego. Few can consistently make money.

Each chapter is short. A single-page chapter breaks all book publishing rules.

Best quote

Spending money to show people how much money you have is the fastest way to have less money — Morgan Housel

J.L. Collins' The Simple Path to Wealth

Most of the best money books were written by bloggers.

JL Collins blogs. This easy-to-read book was written for his daughter.

This book popularized the phrase F You Money. With enough money in your bank account and investment portfolio, you can say F You more.

A bad boss is an example. You can leave instead of enduring his wrath.

You can then sit at home and look for another job while financially secure. JL says its mind-freedom is powerful.

Best phrasing

You own the things you own and they in turn own you — J.L. Collins

Tony Robbins' Unshakeable

I like Tony. This book makes me sweaty.

Tony interviews the world's top financiers. He interviews people who rarely do so.

This book taught me all-weather portfolio. It's a way to invest in different asset classes in good, bad, recession, or depression times.

Look at it:

Investing isn’t about buying one big winner — that’s gambling. It’s about investing in a diversified portfolio of assets.

Best phrasing

The best opportunities come in times of maximum pessimism — Tony Robbins

Ben Graham's The Intelligent Investor

This book helped me distinguish between a spectator and an investor.

Spectators are those who shout that crypto, NFTs, or XYZ platform will die.

Tourists. They want attention and to say "I told you so." They make short-term and long-term predictions like fortunetellers. LOL. Idiots.

Benjamin Graham teaches smart investing. You'll buy a long-term asset. To be confident in recessions, use dollar-cost averaging.

Best phrasing

Those who do not remember the past are condemned to repeat it. — Benjamin Graham

The Napoleon Hill book Think and Grow Rich

This classic book introduced positive thinking to modern self-help.

Lazy pessimists can't become rich. No way.

Napoleon said, "Thoughts create reality."

No surprise that he discusses obsession and focus in this book. They are the fastest ways to make more money to invest in time and wealth-protecting assets.

Best phrasing

The starting point of all achievement is DESIRE. Keep this constantly in mind. Weak desire brings weak results, just as a small fire makes a small amount of heat — Napoleon Hill

Ramit Sethi's book I Will Teach You To Be Rich

This book is mostly good.  The part about credit cards is trash.

Avoid credit card temptations. I don't care about their airline points.

This book teaches you to master money basics (that many people mess up) then automate it so your monkey brain doesn't ruin your financial future.

The book includes great negotiation tactics to help you make more money in less time.

Best quote

The 85 Percent Solution: Getting started is more important than becoming an expert — Ramit Sethi

David Bach's The Automatic Millionaire

You've probably met a six- or seven-figure earner who's broke. All their money goes to useless things like cars.

Money isn't as essential as what you do with it. David teaches how to automate your earnings for more money.

Compounding works once investing is automated. So you get rich.

His strategy eliminates luck and (almost) guarantees millionaire status.

Best phrasing

Every time you earn one dollar, make sure to pay yourself first — David Bach

Thomas J. Stanley's The Millionaire Next Door

Thomas defies the definition of rich.

He spends much of the book highlighting millionaire traits he's studied.

Rich people are quiet, so you wouldn't know they're wealthy. They don't earn much money or drive a BMW.

Thomas will give you the math to get started.

Best phrasing

I am not impressed with what people own. But I’m impressed with what they achieve. I’m proud to be a physician. Always strive to be the best in your field…. Don’t chase money. If you are the best in your field, money will find you. — Thomas J. Stanley

by Bill Perkins "Die With Zero"

Let’s end with one last book.

Bill's book angered many people. He says we spend too much time saving for retirement and die rich. That bank money is lost time.

Your grandkids could use the money. When children inherit money, they become lazy, entitled a-holes.

Bill wants us to spend our money on life-enhancing experiences. Stop saving money like monopoly monkeys.

Best phrasing

You should be focusing on maximizing your life enjoyment rather than on maximizing your wealth. Those are two very different goals. Money is just a means to an end: Having money helps you to achieve the more important goal of enjoying your life. But trying to maximize money actually gets in the way of achieving the more important goal — Bill Perkins

Move people with tiny words.

Apple fanboy here.

• Macs are awesome.

• Their iPhones rock.

• $19 cloths are great.

• $999 stands are amazing.

I love Apple's microcopy even more.

It's like the marketing goddess bit into the Apple logo and blessed the world with microcopy.

I took on a 30-day micro-stalking mission.

Every time I caught myself wasting time on YouTube, I had to visit Apple’s website to learn the secrets of the marketing goddess herself.

We've learned. Golden apples are calling.

Cut the friction

Benefit-first, not commitment-first.

Brands lose customers through friction.

Most brands don't think like customers.

• Brands want sales.

• Brands want newsletter signups.

Here's their microcopy:

• “Buy it now.”

• “Sign up for our newsletter.”

Both are difficult. They ask for big commitments.

People are simple creatures. Want pleasure without commitment.

Apple nails this.

So, instead of highlighting the commitment, they highlight the benefit of the commitment.

Saving on the latest iPhone sounds easier than buying it. Everyone saves, but not everyone buys.

A subtle change in framing reduces friction.

Apple eliminates customer objections to reduce friction.

Less customer friction means simpler processes.

Apple's copy expertly reassures customers about shipping fees and not being home. Apple assures customers that returning faulty products is easy.

Apple knows that talking to a real person is the best way to reduce friction and improve their copy.

Always rhyme

Learn about fine rhyme.

Poets make things beautiful with rhyme.

Copywriters use rhyme to stand out.

Apple’s copywriters have mastered the art of corporate rhyme.

Two techniques are used.

1. Perfect rhyme

Here, rhymes are identical.

2. Imperfect rhyme

Here, rhyming sounds vary.

Apple prioritizes meaning over rhyme.

Apple never forces rhymes that don't fit.

It fits so well that the copy seems accidental.

Add alliteration

Alliteration always entertains.

Alliteration repeats initial sounds in nearby words.

Apple's copy uses alliteration like no other brand I've seen to create a rhyming effect or make the text more fun to read.

For example, in the sentence "Sam saw seven swans swimming," the initial "s" sound is repeated five times. This creates a pleasing rhythm.

Microcopy overuse is like pouring ketchup on a Michelin-star meal.

Alliteration creates a memorable phrase in copywriting. It's subtler than rhyme, and most people wouldn't notice; it simply resonates.

I love how Apple uses alliteration and contrast between "wonders" and "ease".

Assonance, or repeating vowels, isn't Apple's thing.

You ≠ Hero, Customer = Hero

Your brand shouldn't be the hero.

Because they'll be using your product or service, your customer should be the hero of your copywriting. With your help, they should feel like they can achieve their goals.

I love how Apple emphasizes what you can do with the machine in this microcopy.

It's divine how they position their tools as sidekicks to help below.

This one takes the cake:

Dialogue-style writing

Conversational copy engages.

Excellent copy Like sharing gum with a friend.

This helps build audience trust.

Apple does this by using natural connecting words like "so" and phrases like "But that's not all."

Snowclone-proof

The mother of all microcopy techniques.

A snowclone uses an existing phrase or sentence to create a new one. The new phrase or sentence uses the same structure but different words.

It’s usually a well know saying like:

To be or not to be.

This becomes a formula:

To _ or not to _.

Copywriters fill in the blanks with cause-related words. Example:

To click or not to click.

Apple turns "survival of the fittest" into "arrival of the fittest."

It's unexpected and surprises the reader.

So this was fun.

But my fun has just begun.

Microcopy is 21st-century poetry.

I came as an Apple fanboy.

I leave as an Apple fanatic.

Now I’m off to find an apple tree.

Cause you know how it goes.

(Apples, trees, etc.)

This post is a summary. Original post available here.