The Rise of AI | No Reservations | 2

20 Sep 2023 · 37 min

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Business Wars: The Rise of AI | No Reservations | Episode 2

Episode Overview This episode of *Business Wars* explores the emergence and evolution of artificial intelligence (AI), focusing on the competition between tech giants Google and Microsoft, alongside the role of OpenAI. The narrative unfolds through the lens of ethical dilemmas faced by these companies as they navigate AI development.

Key Themes and Concepts

  1. Introduction to AI and Ethical Dilemmas
  2. Protagonist: Joy Boulamwini, a graduate student at MIT, experiences bias in facial recognition technology while developing an AI project.
  3. Realization: Boulamwini's frustration highlights the biases embedded in AI, emphasizing the importance of diverse data sets for effective machine learning.
  1. Corporate Landscape of AI (2015-2019)
  2. Google's Dominance:
  3. Established as a leader in AI due to its ethical reputation and significant investments.
  4. Developed strong interest from scientists who valued the company’s ethical stance.
  5. Emergence of OpenAI:
  6. Founded with the goal of creating ethical AI.
  7. Initially structured as a non-profit and funded by notable Silicon Valley figures like Elon Musk.
  1. Ethical Challenges and Public Perception
  2. Project Maven:
  3. Google faces backlash for collaborating with the Department of Defense to develop AI for military use, leading to internal protests and reputational damage.
  4. Facebook's Public Struggles:
  5. CEO Mark Zuckerberg's testimony before Congress during the Cambridge Analytica scandal highlights growing public distrust in tech companies.
  1. The Shift in OpenAI's Strategy
  2. Financial Struggles:
  3. OpenAI's founders realize the need for significant capital to compete with Google.
  4. They transition OpenAI from a non-profit to a for-profit entity, retaining a focus on ethical AI while seeking investors.
  1. Technological Breakthroughs and Competition
  2. Google I/O Conference (2018):
  3. CEO Sundar Pichai showcases advancements in AI, accentuating Google’s commitment to building user-friendly products.
  4. Microsoft's Strategic Move:
  5. Microsoft invests $1 billion in OpenAI, positioning itself as a formidable competitor in the AI landscape.
  1. Crisis Moments and Reactions
  2. Christchurch Incident:
  3. Facebook's AI fails to flag a live-streamed terrorist attack, leading to heightened scrutiny of its AI capabilities.
  4. Internal Turmoil:
  5. Google faces employee unrest following the firing of key AI ethicists over issues related to bias and ethical standards in AI development.
  1. The Rise of ChatGPT
  2. Game-Changer:
  3. OpenAI launches ChatGPT, leading to widespread recognition and user adoption, perceived as a threat to Google’s core business.
  4. Google's Response:
  5. Pichai declares the situation a “code red,” as Google strategizes to counter the advancements made by OpenAI.

Key Takeaways

  • Ethical AI Development: The race for AI supremacy raises critical questions about ethics, bias, and the responsibilities of corporations.
  • Crisis Management: Each company’s response to public scrutiny and internal dissent shapes its reputation and future.
  • Innovation and Competition: The rapid advancement of AI technologies challenges existing market leaders and alters consumer expectations.

Conclusion This episode underscores the complex interplay between technological innovation, ethical considerations, and corporate competition. As AI continues to evolve, the decisions made by companies like Google, Microsoft, and OpenAI will have significant implications for society at large.

Recommendations for Further Learning

  • Books: *Genius Makers* by Cade Metz
  • Documentaries: *Coded Bias* directed by Shalini Kantayya

*Episode Host:* David Brown *Produced by:* Wondery *Air Date:* [Insert Air Date Here]

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Transcript

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0:00Before we get started, a brief content warning. This episode contains a discussion of gun violence. Please be advised.

0:16It's late October 2015 in Cambridge, Massachusetts. Joy Boulamwini slams her hand against her desk in frustration. The intricate Lego display spread across the table shakes from the impact. Boulamwini takes a deep breath. She can make this work. Boulamwini is in her first semester of a graduate program at MIT. She's working on an assignment to build a piece of technology inspired by science fiction. Boulamwini is making what she's dubbed an aspire mirror. The idea is that when a user looks in the mirror, it will reflect back an image superimposed on the user's face that will inspire them. It could be the face of a lion, or tennis superstar Serena Williams, or even a quote or a symbol.

1:07Bulemwini is using facial recognition software to track the user's face to know where to place the inspirational image. But try as she might, she can't get the software to work. Over and over, a message appears that reads, No face detected, even though she's staring right into the mirror. Bolamwini adjusts her chair and angles her chin down, hoping the change in position will help the software recognize her. No face detected blares in red lights across the top of the mirror. Bolamwini sighs. Why won't you work? She spins around in her chair. She doesn't know what she's going to do. The assignment is due soon, and without reliable facial recognition software, it won't work.

1:54As her chair comes to a stop, Bolamwini spies a white Halloween mask sticking out of her bag. She'd brought it to a friend's party. Bolamwini grabs the mask and slips it over her face. She turns and looks into the mirror. Staring back at her is a lion, regal and proud. Behind the mask, Bolamwini wrinkles her brow. She moves her head to the left and then the right. The software tracks the white mask perfectly. She shoves the mask on top of her head and looks back into the mirror. No face detected, the computer blares. Bulemwini slips the mask back down. A lion stares back at her. Bulemwini closes her eyes.

2:39She knows exactly what's happening. In order to learn to recognize what's a face versus what's not, artificial intelligences are fed massive data sets. But if there's a flaw in the data set, that flaw will come through in its performance. So if there were only a few black faces in the data set that trained the algorithm, it would explain why the mirror didn't pick up Bula Mwini's face. It literally hadn't been taught to recognize her as a person. Bula Mwini's stomach sinks. She started coding because it was an activity that felt divorced from the real world. But it's clear that AI is full of human prejudice.

3:23Bulemwini begins taking notes, writing quickly as questions and thoughts flood her mind. She's determined to study the bias she just experienced. This technology is being sold as objective and fair and already being deployed to law enforcement. There will be devastating consequences if facial recognition AI cannot reliably identify darker-skinned people. Boulamwini's not the only scientist seeing problems with what's being touted as the next big thing. All the major AI companies will soon find themselves in difficult positions. And how they respond will determine who takes the lead.

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6:43On our last episode, the major tech companies, including Google, Microsoft, and Facebook, all made significant investments in artificial intelligence. They concluded that AI would change the world in the same way the Internet and the smartphone once had. Google quickly became the clear leader. Part of their advantage with AI companies and researchers came from their reputation as a tech giant with ethics. Scientists were concerned about the impact of AI on society and wanted to work with a company that took those concerns seriously. One that didn't just push for constant advances, no matter the consequences.

7:20However, a new player came on the scene, funded by Silicon Valley celebrities like Elon Musk and Peter Thiel. Called OpenAI, it was structured as a non-profit. The company declared it would put a strong emphasis on ensuring any AI they develop would be ethical and beneficial to humanity. But as AI continues to develop at a breathtaking rate, more and more people are starting to have doubts that the ethical guardrails any of these companies had put in place were enough. On this episode, each of the major companies comes up against the dark side of AI. They have to decide how to weigh their ethical concerns with their desire to get ahead.

8:05This is Episode 2, No Reservations.

8:18It's September 2017 in Palo Alto, California. Fei-Fei Li logs into a video conferencing software from her office at Stanford University. Li is the director of Stanford's Artificial Intelligence Lab, as well as the lead scientist for Google's cloud computing division. And today, some Google colleagues have asked her to join a meeting about an exciting but controversial new opportunity for the company's AI division. One by one, her colleagues log on, including the head of Google's Defense and Intelligence sales department. Thanks for coming, everyone. Fei-Fei, thanks for making the time to meet with us.

8:55I know we're all busy, so let's just dive in. Sounds good to me. As we're all aware, Google's about to sign a contract with the Department of Defense for an AI initiative called Project Maven. The idea is that the military will use AI to analyze satellite images as well as video footage shot by drones. Now, the question is whether we should publicize this new deal. To get trusted with a DOD AI contract is a big deal, and it could help us win other bigger contracts. But having said that, people are uneasy about military use of AI, so I guess we'll get some pushback. The head of sales glances at Lee's box on his screen.

9:34Feifei, as someone who's really plugged into the AI community, I'd love to get your thoughts. Well, first, I want to say that this is an amazing effort to secure the contract, so congratulations to your whole team. That said, I do think we should exercise extreme caution when promoting it. I think we could do a PR push about the DoD working with our cloud computing services, but I think we should avoid any mention of artificial intelligence. It's just too much of a hot-button issue right now. Several staffers on the call nod in agreement, but one frowns. Of course, I respect Fei-Fei's opinion immensely, but I just want to throw out a different perspective.

10:11It seems to me that it's highly unlikely we'll be able to keep Google's involvement with Project Maven under wraps forever. At some point, you know it's going to leak. So maybe it's better that we just put the story out there and frame it so we're not forced to play defense. The head of sales nods. That's a good point. And how would you frame it? Well, when General Mathis met with us about this collaboration, he said one of the reasons he was talking to us was because of our commitment to corporate responsibility. So I think we could also talk about how the fact of the matter is that bad actors are going to use this technology, so it's vital that the good actors stay one step ahead.

10:51That's what we're helping to do, right? Lee raises her finger, indicating that she wants to speak. I understand that point, and maybe a month ago I would have agreed. But just a few weeks ago, a petition was circulated that called for the UN to ban AI weapons. And several of our company's most prominent researchers, including Jeff Hinton and Demis Osavis, have been outspoken about their distaste for military AI. I just think this contract will be like throwing red meat to the media. They'll paint us as hypocrites, betraying our ethical standards. The head of sales sighs. Well, I don't think we're going to make a decision about this today.

11:28We'll keep talking about it over the next several days. Ultimately, Google decides not to publicize that it's working on Project Maven. The company doesn't even announce internally that they're working with the DOD. But in early 2018, word does get out. And the reaction is not good. Employees learn that Google is assisting the Pentagon with deploying drones. And some are furious. Protests spread throughout the company. The team of engineers assigned to the project refuse to work on it, risking their jobs. Upper management holds an emergency town hall and tries to assure employees that the company is not involved with drone strikes and is not doing anything that could be considered an offensive military attack.

12:15But the turmoil within the company continues to grow, and media outlets pile on. Some Google employees circulate an internal petition demanding Google cancel Project Maven. More than 3 ,000 employees sign it, including some of Google's most prominent researchers and one of the founders of DeepMind. Google's reputation as the ethical tech company is in danger. And they're not the only company facing pushback. Facebook founder Mark Zuckerberg is called to testify in front of the Senate. Ostensibly, the hearing is about how the U.K. company Cambridge Analytica used private Facebook data to target voters on behalf of the Donald Trump campaign.

13:04But the questions soon become more broad-ranging, with numerous senators asking Zuckerberg about the company's use of AI and the ethical guidelines they have in place. Is your company, you mentioned principles, Is your company developing a set of principles that are going to guide that development? And would you provide details to us as to what those principles are and how they will help deal with this issue? Yes, Senator. I can make sure that our team follows up and gets you the information on that. And we have a whole AI ethics team that is working on developing basically the technology. It's not just about philosophical principles.

13:37It's also a technological foundation for making sure that this goes in the direction that we want. Thank you. Zuckerberg remains bullish on AI, convinced that within 5 to 10 years, it will be able to detect hate speech, a nuanced linguistic endeavor, and bragging that 90 % of Al-Qaeda and ISIS content is flagged by AI. But the line of questioning makes clear that Facebook is losing the trust of politicians, and by extension, the American public. The company won't be granted much leeway if there are any mishaps. with its AI.

14:20It's early 2018 in San Francisco. Sam Altman peers over at his colleague Greg Brockman, relieved that he looks as skeptical as Altman feels. In front of him, tech billionaire Elon Musk gestures emphatically as he rants. It's embarrassing. Google's making breakthrough after breakthrough, and what are we doing? Sitting around on our thumbs. Altman largely tunes him out. Three years ago, Altman, Brockman, Musk, and a slew of other tech visionaries founded OpenAI, a non-profit dedicated to developing ethical AI that is beneficial to humanity. Musk is on the board and is one of their biggest donors.

15:00He's pledged a billion dollars. But today, he's not happy. Musk uncrosses his leg, setting his foot down with a thunk. I think it's time to admit that this experiment isn't working. We are falling fatally behind Google, and if things don't change, open AI will never catch up. I don't think that's entirely fair. We're making progress on our robot that can solve a Rubik's Cube, as well as an AI that can beat some pretty complex video games. And we're making big strides in text generation. Progress, but not leaps. We said we were going to be the American version of DeepMind, but we haven't done anything on their level.

15:38Altman runs a hand through his short, wavy hair. No disrespect, Elon, but you're not helping us succeed. You poached one of our best researchers to work for you at Tesla. That's a symptom of the problem with OpenAI, not the cause. If OpenAI was doing groundbreaking research on par with Google, I wouldn't have been able to persuade him to come to Tesla. Brockman shifts in his seat with a sigh. Okay, so what's your solution, Elon? What do you think we should do? I think I should take over the company and run it myself. I have the experience and the acumen to turn this company around. Brockman raises his eyebrows skeptically.

16:17You don't think that you already have your hands full running Tesla and SpaceX? No, I believe I can do this and it's the best path forward. Altman stands up. Well, thanks for stopping by, Elon. We'll take your offer under consideration. As soon as Musk is out the door, Altman turns to Brockman. We're not turning OpenAI over to Elon. We absolutely are not. When OpenAI turns down Musk's offer to run the non-profit, Musk leaves the board and fails to honor the rest of the$1 billion he'd pledged, leaving OpenAI in dire financial trouble.

17:03It's spring 2018 in San Francisco. Altman paces his office in OpenAI headquarters while Brockman sits nearby. Altman reaches one end of the office and pivots back. I know we've talked about it before, but I just don't see another way forward. And I still say it's risky. Our non-profit status is one of the key elements that signaled our commitment to ethical AI. It made it possible for us to get those top researchers. Altman sits down in the chair next to Brockman. Look, Elon wasn't wrong that we're in danger of falling behind Google. They've made a huge breakthrough with their transformer neural network.

17:41It trains faster and it has higher accuracy than any previous neural network. Altman and Brockman know that making that kind of leap requires an enormous data set to use for training and a massive amount of capital to pay for even more computer processing power. Altman turns to Brockman. We can't deny it any longer. We need capital. And what's the fastest way to raise a lot of capital, Greg? Bring in investors. Yeah, we can't do that as a non-profit. I know, I know, but our non-profit status sets us apart, right? If we abandon that, are we any different than Google and Facebook, or are we just smaller and poorer?

18:22I don't think it's so black and white. There are ways we can shift to a for-profit entity and still hold on to our ideals. For example, I won't take any equity in the company. I make plenty of money as it is. So that way I won't be making decisions about AI that are financially motivated. And obviously, we'll still be very conscientious about what we release. Our focus on AI that's good for humanity, that's not going to change. We're definitely walking a tightrope here. I ain't saying we're a business, but also that we're not really interested in making money. But I guess if our only other choice is to shut down OpenAI, I really believe that's the choice.

19:03All right, all right. Well, let's discuss it with the other founders and see what they think.

19:10Ultimately, OpenAI abandons its non-profit status and restructures as a for-profit business. It's a big, bold gamble on whether they'll draw investors or repel them. The question is, have the OpenAI founders removed themselves from the race entirely? Or given themselves a shot of steroids?

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21:13It's May 2018. team. Google CEO Sundar Pichai strides onto the stage at the Shoreline Amphitheater in Mountain View, California. 7 ,000 people fill the seats cheering for Pichai as if he's one of the rock stars who regularly play this venue. Because in the tech world, Pichai is one. He joined Google in 2004, shortly after receiving his graduate degree from the University of Pennsylvania's prestigious Horton School of Business. He worked on almost all of Google's major products, including Gmail, Chrome, Drive, and Android. And three years ago, in 2015, Pichai was named CEO. Today, he's here to deliver the keynote address for Google's annual I.O.

21:59conference, where he'll announce all the new products and services coming to Google. Pichai waves to the crowd, wearing an olive green fleece and crisp blue jeans. Good morning. Good morning. When the applause finally dies down, Pichai starts off with a joke about emojis. Then he begins methodically going through the product updates to each of Google's services. Pichai talks about how they're redesigning Gmail, maps, photos, and Android to incorporate AI. People clap dutifully, but nothing he's announcing is all that exciting. Until about a half hour into his presentation. We want to connect users to businesses in a good way.

22:47Businesses actually rely a lot on this, but even in the U.S., 60 % of small businesses don't have an online booking system set up. We think AI can help with this problem. Let's say you want to ask Google to make you a haircut appointment on Tuesday between 10 and noon. What happens is the Google Assistant makes the call seamlessly in the background for you. So what you're going to hear is the Google Assistant actually calling a real salon to schedule the appointment for you. Let's listen.

23:24How's something out for you? Hi, I'm calling to book a women's haircut for a client. I'm looking for something on May 3rd. Sure, give me one second. Mm-hmm. Sure. What time are you looking for, Ralph? At 12 p.m. We do not have a 12 p.m. available. The call continues. Google Assistant negotiates a time-in-the-window request, confirms the service the client is looking for, and gives the customer's name, easily responding to questions from the human receptionist at the salon. Okay, perfect. So I will see Lisa at 10 o 'clock on May 3rd. Okay, great. Thanks. Great. Have a great day. Bye. As the recording of the call wraps up, the crowd cheers wildly.

24:09Autocorrect, instantaneous translation, and photo tagging are all uses of AI that have made life easier. But a robot calling and making an appointment on your behalf feels like the AI that was promised in the movies. The kind where robots replace humans. Pichai grins proudly. He continues on with the presentation, but his point has been made. Google's investment in AI is paying off. They're the company that's letting people live in the future. And he makes it seem helpful and benign, a far cry from killer robots and automated drones. But while Google is taking a victory lap, Facebook is staring down yet another setback.

24:56This time, a tragic one.

25:03It's March 2019 in Menlo Park, California. Facebook's chief technology officer, Mike Shrepfer, forces himself to watch a video on his computer monitor. He watches as the camera enters a mosque and opens fire on the worshippers within. Tears stream down his face. This video is less than 24 hours old, and Shrepfer has already watched it several times. He has to, to make sure a video like this never makes it onto Facebook again. A day earlier, a 28-year-old white supremacist walked into two mosques in Christchurch, New Zealand, and shot more than 90 people, killing 51 of them. He had broadcast the shootings using Facebook Live.

25:50The company's AI failed to flag the video as a depiction of graphic violence, and it stayed up on the site for an hour. It's a huge black mark for Facebook. For the past year, Mark Zuckerberg had been touting AI's capabilities in removing banned content before it was posted. And in one of the most crucial moments, it failed. The video ends. Shrepfer wipes a tear from his cheek. Come in. The door opens and one of the engineers on Shrepfer's team walks in. His face looks haggard and taut. I just finished watching the video a bunch of times, and I have some thoughts about why the AI missed it. Thanks for doing that.

Read the full transcript

26:35I know it's not easy. The engineer nods and takes a seat. I really think it's the angle that caused the biggest problem. I looked through the data set we trained the AI on. It was videos of dog attacks and people kicking cats, people hitting each other. None of it was shot in first person. Well, obviously, we'll need to find other first-person videos like this one to use to train our system so it recognizes it. And recognize when what's being posted is from a video game, not a violent act that's really occurring. Shreffer nods. Of course, it raises the question of what else we're missing. What other ways could some horrific, violent video slip through?

27:15Yeah. You know, sometimes it feels like bad actors are always a step ahead. Shreffur sighs. He used to be one of AI's staunchest supporters. He was proud of the work he'd done to shepherd Facebook's AI to identify and remove Al-Qaeda content. But years of dealing with the deluge of toxic posts have taken a toll. He still thinks that advances in AI will help Facebook continue to stem the problem of dangerous and prejudiced content. But now he's not sure that AI will ever solve the problem completely. Shrefer shakes his head. Let's keep thinking about it. I don't want to be doing this again in six months after another video that looks like this one.

28:02But while some executives at Facebook are starting to have doubts about the long-term effectiveness of AI, Microsoft is about to be handed an amazing opportunity to get it out of its doldrums and position it to take on its biggest foes.

28:27It's 2019 in Redmond, Washington. Microsoft CEO Satya Nadella swivels in his chair as he removes his dark-rimmed glasses and starts to clean them. Across from him is one of his top AI executives. The executive notes the late afternoon sun reflecting off his boss's bald head. When Nadella puts his glasses back on, the executive shifts in his seat. Are you sure about this? I know OpenAI has done some good work, but you're suggesting investing a lot of money to form a partnership with them. We need to do something big, and OpenAI does nothing if not think big. They're not afraid to just say that they're working on AGI.

29:09AGI, or Artificial General Intelligence, is the shorthand used for creating an AI that can do anything a human could do, but better. Nadella continues. We need that bold energy around here. We're floundering. When's the last time we brought a successful AI tool to market? I agree in principle. We need to do something new, but this isn't going to be a small deal. And a lot of researchers seem to think that open AI makes big promises but under-delivers. It's a gamble. I admit that. I really think if this partnership with OpenAI works, we'll make gains in AI that will put Google on the defensive.

29:47And that's a jackpot I'm willing to bet big to win. Let's make Google ante up. The executive nods. All right, then. Well, I'll reach out to OpenAI's people and get the conversation started. In June 2019, Microsoft announces they've invested$1 billion into OpenAI. Microsoft will exclusively provide OpenAI with access to its cloud computing services. And together, the two companies will develop technologies for Microsoft to commercialize. The announcement lights up the industry. Microsoft had been seen as the loser in the AI race for almost a decade. And a year earlier, OpenAI was having to restructure just to survive.

30:33But together, they're a dark horse. And while Google is still in the lead, the long shot is gaining on it.

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32:55It's early December 2020 in the Bay Area, California. A Google employee on the AI ethics team is working from home due to the COVID-19 pandemic. But she's been distracted all day, barely able to focus. Yesterday, the employee learned that the co-leader of the AI ethics team, Timneet Gebru, had been fired. It wasn't completely out of nowhere. A few days earlier, Gabru had sent a scathing internal email outlining how the Google higher-ups had blocked her from publishing a research paper about the bias in AI models. She lambasted the company's diversity efforts and detailed the challenges she faced as a black woman working for Google.

33:36Gabru is one of the most respected AI ethicists in the world. So it was a shock that the company had actually fired her. All day, that Google employee who was working from home had found herself staring into space thinking about Gebru's firing. She felt like her bosses were sending a message to everyone, but especially the AI ethics team. A message that they shouldn't speak up. The employee's phone buzzes. She looks down to see it's one of her colleagues on the ethics team. She answers. The colleague doesn't even say hello. Did you see this email Jeff Dean just sent out? Jeff Dean is the head of Google AI.

34:19The employee clicks over to her email tab on her browser. No, I heard an email came in. I haven't looked yet. You have to read it right now. It's going to make your blood boil. The employee clicks open the email and begins to read. Because there's been a lot of speculation on social media, I wanted to share some more context. Blah, blah, blah. Uh, Tim Neat co-authored a paper that needed to go through a review process. Unfortunately, this paper was only shared with a day's notice of the deadline. We require two weeks for this sort of review. Her colleague interjects. That is total BS. There's no hard and fast rule about how far in advance papers have to be submitted.

34:59And I looked it up. Almost half of the papers submitted for review are done on a day or less notice. Well, yeah, and they did approve it. And it was only six weeks later that they told Tim Neat she had to either retract the paper or remove her name from it. He also insists that she resign. Seriously? No, she asked for a meeting to discuss their concerns about the paper. Okay, yeah, she said if you don't have a meeting with me, I'll resign. But they're the ones who said okay, resignation accepted? This whole thing is infuriating. And I'm so mad that Jeff's the one who wrote this. He was a hero to me for so long.

35:34I feel like this is the beginning of the end for our team. The higher-ups don't really care about ethics in AI. They just want to win, push out the most advanced neural networks they can, and the bias and inaccuracy of them be damned. The two researchers sit in silence for a moment, a sense of dread settling over them. Soon, a petition is circulated supporting Gebru. More than 1 ,500 Google employees and over 2 ,000 academics and other industry peers signed the petition. Google faces another wave of negative press, and some outside scientists turn down research grants from the company in protest.

36:16Even Jeff Dean acknowledges Google's reputation has taken a hit because of all this. But in February 2021, Google fans the flames when it fires another highly respected AI ethicist who served with Gebru as co-lead of the AI ethics team. More protests and bad press follow. And while Google is dealing with its internal upheaval, OpenAI and Microsoft's alliance starts to pay off.

36:51It's early December 2022 in San Francisco. John Shulman lets out a delighted laugh as he scrolls through Twitter at his desk at OpenAI headquarters. He can't believe what he's seeing. Shulman is one of OpenAI's co-founders. A few days ago, the company released an updated version of their artificial intelligence called ChatGPT. It's a chatbot where users can enter in prompts. Anything from asking for an explanation of trigonometry to a request for knock-knock jokes, and the bot will answer in surprisingly fluid sentences. OpenAI had been releasing versions of ChatGPT periodically over the past two years, and this one didn't seem all that different from a version they had released just a few months ago.

37:36But it's taken off. Millions of people have already signed up to use it. The New York Times has declared it the best artificial intelligence ever released to the public. A colleague sticks his head into Shulman's office, grinning. All day, people have been stopping by to marvel at how ChatGPT is being received. This is wild! Shulman swivels in his chair, swooping his shaggy brown hair off his forehead. It's amazing. Look at this prompt someone gave it. Write a biblical verse in the style of the King James Bible explaining how to remove a peanut butter sandwich from a VCR. A good one. What did ChatGPT come up with?

38:17And it came to pass that a man was troubled by a peanut butter sandwich, for it had been placed within his VCR and he knew not how to remove it. This goes on for several more paragraphs. That's pretty good. My entire Twitter feed is full of ChatGPT screenshots. I know I'm in a bubble, but it feels like it's all anyone's talking about. Bright days ahead of us. I hear we're already starting to negotiate with Microsoft for another investment for way more money. Well, yeah. I mean, if nothing else, this is going to change search. Who needs to Google anything when you can just ask ChatGPT for the answer?

38:57I would pay to be a fly on the wall in Google's offices right now. They must be flipping out. Shulman's colleague is right on the money. Google CEO Sundar Pichai declares ChatGPT a code red.

39:14It's early December 2022 in Mountain View, California. Sundar Pichai strides into a conference room full of executives at Google headquarters and flops into a chair at the head of the table. I don't think I need to belabor this point, but ChatGPT is an existential threat to our core business of search. We need to figure out how we're going to answer. An executive raises his index finger, indicating he'd like to speak. The problem isn't that we can't make our own version of ChatGPT. We have them. But the problem is that these chatbots frequently get things wrong. That's not a deal breaker, but our business is built on accuracy in search.

39:55So if we release a product that frequently provides false information, our core business will take a huge reputational hit. Sure. So we need to figure out how our AI won't get things wrong. That's a fairly large problem that no one's cracked yet. Well, our I.O. conference is in May. That's in five months. From now until then, I want every team working on AI products that we can deploy. You got it? We are not falling behind. Every head around the table nods. OpenAI may have struck a blow against Google's dominance, but Google's not about to sit idly by. The company has a tremendous amount of resources at its disposal that it can use to strike back.

40:47On our next episode, Google pulls out all the stops to fight OpenAI and Microsoft, And the public begins to feel the consequences of all the advancements in artificial intelligence, for better and for worse.

41:10From Wondery, this is Episode 2 of The Rise of AI for Business Wars. A quick note about recreations you've been hearing. In most cases, we can't know exactly what was said. Those scenes are dramatizations, but they're based on historical research. To learn more about artificial intelligence, we recommend Genius Makers by Cade Metz and the documentary Coded Bias, directed by Sholini Kataya. I'm your host, David Brown. Austin Rackless wrote this story. Karen Lowe is our senior producer and editor. Edited and produced by Emily Frost. Sound design by Kyle Randall. Voice acting by Mehdi Murali and Crystal Lee.

41:47Fact-checking by Gabrielle Jolay Our senior managing producer is Ryan Lohr Our managing producer is Matt Gant Our coordinating producer is Desi Blalock Our producer is Dave Schilling Our executive producers are Jenny Lauer-Beckman and Marshall Louis for Wondery

42:20Hey, basketball fans. Steve Nash here. Ready to elevate your basketball IQ? I'm teaming up with LeBron James to bring you the latest season of Mind the Game. And we're about to take you deeper into basketball than you've ever gone before. We're breaking down the real game, the X's and O's that actually matter. In every episode, we'll share elite-level strategy, dive into career-defining moments, and explain the why behind plays that change a game, a team, or a championship. LeBron and I have lived this game at the highest level for decades. We've been in those pressure moments and made those game-changing decisions and learned from the greatest basketball minds in history.

42:57Now we're pulling back the curtain and sharing that knowledge with you. Time to go beyond the highlights and get into the real heart of basketball. Watch Mind the Game now on YouTube, Prime Video, or listen wherever you get your podcasts.

From the publisher

Google is the undisputed leader in the race to dominate AI, in part because of its reputation as a company with strong corporate ethics.  But as questions about the morality and efficacy of AI become more pronounced, Google finds itself mired in internal conflicts and bad PR.  Google’s stagnation gives Microsoft an opportunity to team up with an ambitious start-up called OpenAI.  When OpenAI releases ChatGPT, the chatbot shakes up the AI landscape and puts Google on its heels. 

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