AI Demos: New Runway, Flux, Grok 2.0 & Jam Session with Ulama | E1997

0:00Well, Jason, can I give you a real-time hack that I just did while you were talking about searching for a Chrome extension. Okay, perfect. I like an impromptu demo. Here we go. One of the things that you can do in Claude, because they have these artifacts, is you can do this. Can you make me a Chrome extension that opens new tabs to chadgpt.com? And look what this does. It created the Chrome extension for you. And you can download, you know, you can publish this for others to use. Look at the world we're in, Jason. Yes. Literally, if the Chrome extension doesn't exist, go ahead and make one. Isn't that incredible, J.

0:35Cal? come on. It's nuts. This Week in Startups is brought to you by Squarespace. Turn your idea into a new website. Go to squarespace.com slash twist for a free trial. When you're ready to launch, use offer code twist to save 10 % off your first purchase of a website or domain. LinkedIn Jobs. A business is only as strong as its people and every hire matters. Go to linkedin.com slash twist to post your first job for free. Terms and conditions apply. And linear. Linear helps product teams focus on what they do best, planning and building great products. Streamline issues, projects, and product roadmaps in a tool your team will actually enjoy using.

1:20Get 25 % off at linear.app slash twist. All right, everybody. Welcome back to This Week in Startups. I'm super excited because after his whirlwind tour, he's raised some money. He's been growing grok. My boy, Sonny Sandeep Madra is back and he is here to talk AI. I'm going to do a bunch of demos. How's your hot AI summer going, Sonny? How's the hot AI summer? Well, hot AI summer has been great. You know, on the personal and company front, you know, we raised around a capital. J. Cal has a little bit in there as well of that one, right? So we ended up, we went to the market to raise a smaller amount.

2:03We raised more than 2x. We raised$640 million. Incredible. We are now fully armed to continue deploying our chips, adding more capacity to our inference services, adding more features and functionalities. We're very excited. That's awesome. hot ai summer is going to translate into you know big 25 supernova ai 25 ai 25 is going to be big so we should coin that ai 25 i like that ai 25 there you go i think the interesting thing is there was a lot of fundraising for ai like over the last couple years now there seems to be hey these language models didn't exactly work out people spent a lot of money on them but it seems like consumers maybe they don't want to pay for it microsoft co-pilots some people are like i'm not getting enough value i have everybody on the team i'm paying for chat gpt4 enterprise for the entire team i don't know if that's 30 bucks a person a month or something i'm trying to get everybody to use it regularly tell us what you think of the the air gap or you know that people have been talking about this sort of before we get into our ai demos as we do here on the show What are your thoughts on translating all this spend into product and this criticism that's come up on All In?

3:21One of the partners at Sequoia wrote a piece about it of like, how do you get back the, what is it, 30,$40 billion that's been spent on infrastructure here? So I had a tweet last week, and it really exploded, which was about kind of watching some of our interns. and those interns, I would say, I use this phrase, I don't know if I coined it or not, they're AI native. I've been in and around software development since 1990. What I've seen with these interns that are AI native is you used to have this career trajectory, which was you go to school, you learn the theory, you come out, you get a junior job, you learn from the senior folks and basically maybe a few years in you can start your own company or you can you know go on a icy path or manager manager path yeah these interns that are working with us they're as good as folks of you know my age range or whatever you want to call her my vintage gen x was gen x was yeah you're vintage yeah no yeah yeah yeah but these folks are teenagers Well, it makes sense.

4:29You know, if you're an AI native, and all of the knowledge in the world was locked up in silos, and you had to pick a silo, you had to pick a track, I'm going to be a developer, I'm going to be a marketer, I'm going to be in sales, you know, to switch tracks was extremely difficult, because it meant getting somebody in an organization to let you switch tracks. and you know if you went for your mba or you went for your medical degree or if you went for your you know marketing communications degree at ucla wherever you went you know then people wouldn't believe you when you said oh i want to make a horizontal shift i want to try to move laterally inside the organization you remember how hard that was well now you can just start asking questions in chat gpt4o or gemini or grok and it will tell you how that works and you can just start doing the work.

5:15So yeah, I do think that's a sea change. So coming back to the question, which is, you know, what's happened? People aren't seeing the value because the people that are most using this technology are very early on. I think it was best stated by Zuck who said, you know, in the meta earnings, I'd rather invest more and then not be late later on. And I think the feeling that they're getting is the technology, and it's not one of those things where people say it's a bubble. The technology is there. There is a 17-year-old kid sitting on the other side of this office I'm in that distilled an AI model.

5:54This is all enabled by their ability to look through the information, parse it quickly, have a mentor with them there that's 24-7, that's the AI. And so what everyone is missing out on is maybe we're expecting the gains from the folks that are in-stream, but the gains are coming to the younger folks. And I think people that are interns and the people that are looking for jobs right now actually reminds me of, you know, 90, and I want to ask you about this, but like 97, 98, 99, before 2000. the people that were really kind of coming in and jumping in and way ahead of the folks that were already 10 years into their career the folks that came in at that point really made massive gains so it's that moment and i think we're going to see that everywhere yeah the way i would explain this is you know during that time period um and i was going to pull up my i have the chat gpt app um on my desktop i don't know if you've used the ios app yet i do yeah yeah and uh yeah i'm only you know i've been using it because it's kind of like spotlight you hit instead of command space bar i think you hit option space bar or control space bar i'll just show you an example one of the like more refined points as one example in venture capital is understanding the difference between dpi and tvpi tvpi is the total value to paid in capital dpi is distributions to paid in capital cash and end yes and so these are very these there are formulas behind this you know a bunch of industry words and you know if you're in a meeting and you're too afraid to you know sort of ask you could just ask here and it gives you such a concise amazing discussion that you don't have to hunt and peck on the internet fight through a bunch of ads and pop-ups to get the answer and And here it says, you know, DPI is distributions to paid in capital.

7:54Distributions mean cash and stock given to an investor. And paid in capital is how much money they put in. So if you distributed$1 and the person put in$1, it's$1, right? And if total value to paid in capital is how much did Sunny invest in my venture firm? But what's the total value on paper? Paper returns. So I own a bunch of Stripe markup. So let's say I own a bunch of Stripe and for every dollar that Sonny put into my fund, we had$10 worth of Stripe. You know, you'd have 10 to one of the value of the TVPI, but you'd have zero on the DPI to the paving capital. And, you know, I was just trying to explain this to somebody else.

8:34Like, if everybody in our organization just use ChatGPT all day long to ask these questions, I wouldn't have to answer them and they would be really smart. So what I did was over the weekend, I like to set up when I open a new tab, right? When you open a new tab on your computer in Firefox, when I open a new tab, I want to set the new tab to ChatGPT4. Now, Firefox and all the browsers don't let you do this anymore. Oh. Because you could always set your default homepage to whatever you wanted. You can set your default homepage and hit home and you hit the home button and we'll go there. the tab to that exactly now why did they do that well because they make so much money when you open the firefox tab and it gives you stories and some of them are paid stories and search and all that so i just you know found a stupid easy to use chrome extension i'll show it to you here and this is the one for firefox it's called new tab override and basically it's just a wanky you know a little add-on that every time i open a tab in firefox now it opens up to chat gpt for oh yes and then i went to my entire team and i said starting today everybody on their work computer when you open a new tab i want chat gpt for oh open yeah and you know some people complain that how do i do this and blah blah blah and i say i don't care just do it because i think once you do 20 questions, queries, searches a day, I think the number 20, your mind changes and your workflow changes and you become an AI needed.

10:12All right, founders, we all know you have too much to do. So I'm going to save you time and money, the two things that you value. No matter what you're building, you got to have a website. We all know that. And everybody judges you by your website. People judge a book by its cover. That's what they say. Don't judge a book by its cover. Well, the reason they admonish people with that is because people do judge books by the cover. That's why when you go to the airport, some covers, they fly off the shelves. The good news is that Squarespace can help you because Squarespace not only will make you a beautiful website, man, they do domain names and they have all kinds of tools in AI now.

10:50They got Blueprint AI. It's a tool that's going to help you tweak your website by answering five quick questions. And once you have the design sorted out and it's beautiful, it's stunning, man, they got all these other AI tools that are going to help you with all the copy you need. You're going to save time, save money, and you're going to get that site online and wow your customers. Squarespace is the longest running partner here on This Week in Startups because they love startups. Squarespace.com slash twist for a free trial. When you're ready to launch, you go to squarespace.com slash twist.

11:19You get 10 % off your first website or domain purchase, and it's already affordable. And it kicks butt. they're awesome they're constantly adding new features that's all i have to tell you i love it we use it squarespace.com slash twist thank you to the team over there for making great products for startups so just trust jcal take your chrome preferably use the brave browser because that's the best one and just get new tab override and get the brave browser so you know you're nice and secure and you're all set for chat gpt4 become your default just like a google search was your default and man it changes everything it changes everything um and then in my settings you remember we had custom settings in um chat gpt this is very simple folks it's in rocket science you go to i'm in corporate right it's got my corporate email there i hit customize chat gpt and what you see is i don't tell it about me but i say i do care about how it responds and i have four instructions citations please always present data in a table please use concise simple language fewer words is better than more that's it and once you set that up you know now you're cooking with oil because you can see when i did that search before uh you know of the paid in capital and stuff like that it will start to give you citations and that just changes everything because it gets rid of the what do you call those um hallucinations which at some point we won't even have hallucinations Well, Jason, can I give you a real-time hack that I just did while you were talking about searching for a Chrome extension?

12:53Okay. And this is like an impromptu demo. I just did it while you were there. Okay, perfect. I like an impromptu demo. Here we go. One of the things that you can do in Claude because they have these artifacts is you can do this. Can you make me a Chrome extension that opens new tabs to chadgpt.com? And look what this does. It created the Chrome extension for you. and you can download you know you can publish this for others to use look at the world we're in jason yes literally if the chrome extension doesn't exist go ahead and make one it's demented it's truly demented so what what kind of world are we in i mean i think it's a world of abundance where everybody will be capable of doing every job and so when you start to think about that then it's just a matter of applying yourself and having some self-discipline getting a good night's sleep showing up to work on time putting an effort but to be honest like imagine boredom j cal boredom j cal had this oh man i would have been off to the races yeah i mean i it's like a secret weapon you know and so one of my issues with extensions is i'm always weary of what else they're doing like so when you go to the store right because yeah you don't know yeah because you're like oh you know maybe they're just sending my bookmarks or you know my uh searches or whatever now i know because this has explained what it is.

14:14It's a very, very simple. You can see that it's a simple action that says when a new tab is created, set the URL to this. Isn't that incredible, J. Cal? Come on. It's nuts. It's completely nuts. And you know, like anything that's customer service related, I was riding my, you know, have a, on the ranch here, I now have like a lawnmower that you ride and you can like, it's a non-turning one. It's like a John Deere kind of thing? Yeah, it's a Koboto. Oh yeah, yeah. Those are popular too. Yeah, yeah. unbelievable and like you know you put this thing on full throttle it goes 20 miles an hour and rips everything down and i got like tens and tens of acres here to do and i like riding around i put a podcast on and i go for a ride i do it but it was giving me a light indicator and i just took a picture of the indicator i said what's going on and it was like oh this thing has two different gas tanks the right one's empty and i was like what and i look it up and sure enough this tractor that i have this lawnmower has on both sides a different gas tank and i had filled one but not the other and the other was given the alarm now this i literally was on the tractor i took out the app i took a picture of the thing and i said what's going on yeah i would have had to go to my desktop i wouldn't have or pinch and zoom on my phone looking at a pdf file easy peasy lemon squeezy i was done and then i was flying my drone around the ranch and i was trying to figure out with why my dgi drone was not connecting to the internet and i didn't have the maps and i didn't have the manual i'm like trying to find the manual and i just asked it like what's going on here and you know sure enough it was like giving me all the possibilities here and it's like oh your dgi controller typically comes with several cables you're supposed to connect the connection port to the controller and i was like oh i'm trying to connect this thing by wi-fi I'm trying to connect to the network and it's like no dummy you plug it into your phone and makes the connection over your phone and does it that way you know again like stupid stuff but man it figures stuff out on a very you know very fast basis because it's got every piece of knowledge in its you know language model so when it's trying to construct an answer it's not visiting one website it's got you know 500 websites that have addressed this issue and it's synthesized them in some way to give you the right results so customer support i mean the idea of talking to a human unless that human was the expert ai is going to do a much better job so here we are i'm going to ask you a question you know i'm so addicted to chat gpt4o yeah would you think claude and llama and grok where are those in terms of you know queries because i don't have time to put the query on all four and i was using poe from quora and it will let you like summon the other ones but it's also complicated.

16:57It's like trying to run four different social networks or, you know, there's no posterous example here where you can ask a question to four different things and have it pull the answers together. And it's still slow. It's still slow. You know, we, you know, Grok are here to fix that, but putting that aside, let me give you the framework that I use right now. And, you know, subject to change or people can comment and let us know. I like Claude Anthropic when I needed to create an artifact of something. So like in the case that I just showed you, because what you're able to do now on Anthropic is you can have it create something for you and then you can publish that and then other people can remix it.

17:37So I could have published that Chrome extension that I just created and then it gets better and better. So it's like, for me, this like Anthropic is more of like a place to kind of build things and let people build off of them. So if you see on the bottom right here, I can publish this. And then, you know, I can say publish and copy link. And all of a sudden this is public and then people can take this and remix it. So if I send this to you, you know, you're off to the races, right? And you can take it, you can edit it, and then I can see what's happened. And so it's very, very kind of like modern GitHub-like.

18:12Multiplayer mode is the killer feature of these. And I know that Claude has projects now where you put PDFs in and you have product knowledge, which reminds me of the Google notebook feature where you can upload PDFs and then share them. So have you played with the projects thing yet where you have project knowledge? Yeah, I mean, I've just tried it for the sake of demos, but like I haven't used it in anything in practice. But I can see where the power could be, where you put all the documents in or exactly like, you know, I would say you would want to create one of these for the next This Week in Startups or launch event.

18:52And you drop all the knowledge in and then it's kind of everyone is interacting in there. And when something new pops up and you don't have to go back and say, what did we decide on this? It's all part of the long running session, which I think is super powerful. yeah and you know this is where silos are going to make a big deal i just had raul from superhuman on he's got all of your gmail you know or outlook and you can ask questions with ai and you have this like really interesting dialogue people can go look up that demo now you've got flawed and notion has ai built into it so people are asking questions of notion then i just got upsold on slack there's just too many ai pieces running around and i need to start consolidating and and be able to not hack all this together, which leads me to believe like a desktop version of all this would be very interesting.

19:45Founders, I know that you're keeping a close eye on your burn rate. I am too. In today's venture market, every single hire you make has to be perfect, right? You can't make mistakes. You got to keep that runway as long as possible so that you can run more experiments and you need talented people to run those experiments and figure out how you're going to get product market fit, How are you going to scale your company? And that's why you need to use LinkedIn jobs. As you know, LinkedIn brings you the candidates that you can't find anywhere else. LinkedIn passed the 1 billion member mark. Think about that.

20:161 billion members. And 70 % of LinkedIn users don't visit the other leading job sites. This is a phenomenal statistic. They don't even go to the other job sites. Why? Because they might not be looking. And those are the best hires. But they're hanging out on LinkedIn, doing professional development, checking in on their network, building their network, sharing content, finding leads, all that great stuff. Bottom line, there's amazing hires waiting for your company on LinkedIn and nowhere else. And they have a special deal right now. Post a job for free. What? F-R-E-E? What a great price. LinkedIn.com slash twist.

20:48That's right. LinkedIn.com slash T-W-I-S-T to post your job for free. Terms and conditions, of course, apply. And Microsoft and macOS are in a, you know, really interesting position as operating systems and android for that matter to do this um i saw the google pixel nines came out and they have like some language model android built into it i don't know the nature of that but is apple getting anywhere with the new ios and the 16 phone any any buzz around that in the community they've shown with apple intelligence the awesome thing is like you could replicate apple intelligence now we talked about this earlier on in the year where if you create the appropriate siri shortcuts it's like Apple intelligence, right?

21:34And so it's sort of all they've done is taken that concept that everyone was talking about and implemented them there, right? Like help me, you know, if you're writing a text, you can say, hey, rewrite this for me so it sounds better or more professional or whatever it happens to be. So I think that they're doing the basics, but to go back to your line of questioning on how I think you should think about using the different AIs, I think you should think about it as like the internet in like 97, where there wasn't like, Remember, there's like three, four places you would jump off to at that point.

22:04You still would go to Yahoo. Google wasn't there. You had like Excite or AskG, kind of those early browsers. And you had a few jump off points. So to me, if it's like, I need to do like a task, I always try to do that with like Anthropic, like one of the versions of Clot. Then, and we'll just kind of jump into one of our demos. you know we have grok to now grok with a k um and we'll just do it real time i really love this grok because you can just come in here at any time and i like using the twitter grok or x grok for tell me today's headlines because naturally their underlying uh you know system of record their data is the most up-to-date as it can be right so what i find is if i want to get like a quick snapshot and not have to cruise you know twitter or apple news or whatever it is for a bit i just come in here and i i say tell me today's headlines and then you can kind of go back and forth on these topics and say and you have it in fun mode yeah yeah yeah i mean um yeah you can turn that off too it's it's one in the same thing right and so for this it doesn't do it just gets a little goofy yeah exactly so you know we we could we can run this one again if you want to but yeah yeah and the images here what's very interesting on the grok g-r-o-k on x is that it is letting you make images of public people well well and it's gotten a little bit wild yeah Yeah, we can get into that, Jason, because that's sort of what we're seeing.

23:44And every one of these folks that were building these things were generally holding back on allowing it to build sort of images of public figures. And now we're in a window. So you go do one, just do one. Let's see if we can make one. Yeah, sure. i think if you create a new window in the top right there if you just because i think it's one chat interface on groth um and i don't think it has a history there i didn't see like a history of my stuff so i don't think you have to worry about showing your history here um and it doesn't do spicy stuff yeah oh okay so now me make an image of donald trump and kamala harris and kamala there is having pizza together oh hold the hands perfect even no holding hands is even better because that would be a little risque or whatever yeah um for accurate and up-to-date information on the 24th present election visit vote.gov okay well that's nice and so i mean looks like trump it doesn't look like kamala it looks like somebody much younger you know there you have it and you know you can imagine that this could get even more spicy or inappropriate or yes dangerous and like people were putting things in there of like not um of sexual nature but they were putting things in there of um violence and it you know i was a little bit like we need some guardrails here i think there's a few things that have popped up so to show you what's possible now when you start mixing some of the technologies together so this is one of the things that emerged uh i don't know if you saw this one jason i didn't uh this is interesting here we go it's a video of trump and kamala walking down the beach holding hands with the fingers interlaced looking at each other lovingly okay now they're kissing and that's an inappropriate kiss there yes and then now they've had a baby and he's rubbing her and he's got i noticed his nails have look now she's had a baby trump trump yeah yeah okay so that's absurd but i mean i don't see that as any different than an snl skit right like snl could do something like that right no they did do something like that they did something like that with the leader of uh iran for amadid and judge if i'm pronouncing that correctly um and it was a very famous piece called i ran so far away oh okay i don't know if you remember this one uh i don't remember it i don't remember i mean this was next level on snl and it was like you know back in that andy uh while you're looking it up jake i'll pull up this one that someone made which is this is a cctv footage image of a trump robbing a store holding a gun and yeah yeah that's not cool yeah yeah i mean now we're getting dangerous yeah it looks like um yeah it looks like trump on a bender going to get money yeah not good this is the problem when there's no guardrails now the issue is is you can download these models and not have guardrails yourself so i guess you know the question is where where are we on the spectrum of these things which is you know a bit fascinating so this was probably the best okay yeah this is the best snl of all time i think the best digital short so for people who don't know i'm going to talk over this

27:08but muhammad mahmoud abed amadinejaj remember him okay yes he came to the un he was the president of Iran and he just told everybody like, I'm going to come to New York but this thing about gay people belong to me like a very hairy Jake Gyllenhaal to me and he starts like mocking him that he's coming to New York to have a gay love affair with Jake Gyllenhaal and so they basically mock this guy who was coming to New York to be and this is the guy um from maroon 5 adam levine yes so and this is 11 years ago and adam levine was like the number one musician and it's just like andy samberg mocking him for making fun of gay people when he's actually like on the dl in new york and there's like this great moment where he's like flirting and it's just so great to and then they put him in a dress right so you know like putting him in a dress right here this scene like for a guy from iran who is a religious guy who's yeah you know that's pretty out there i think uh but it was pretty funny you know like for the you know new york squad to mock somebody who's homophobic but but and put him in a red so what's the difference if consumers do it well like okay here here's what i'll say snl is a known comedy show right yes and context you know you you know everything that's on there is meant to be a joke they're meant to make fun of people sure don't take it seriously even when you watch the news the weekend update you don't take it seriously you do not think this is news i have to take action on and i'm going to believe it you think they're going to mock what's happening in the news yeah like reading the comics and you know you know like that kind of stuff the problem with x is it has you know you're meant to take it seriously um and you don't also don't have to take it seriously yeah and i think that's sort of at the end of the day snl still is broadcasting through i guess fcc regulations and whatnot your point is exactly correct there's a wide berth for parody and comedy and x is known for news because it's traditionally had a lot of journalists on it a lot of breaking news it is the number one news app in the world and you know a lot of citizen journalism and so there is going to be a big adjustment period here because number one rumors spread really fast on social media incorrect stuff spreads fast the more incorrect it is and the more salacious it is the faster it spreads on any social network whether it's reddit twitter or Facebook.

30:06And so, yeah, these are concerns. And I think labeling needs to happen for fake stuff, right? If you want to build beautiful software products, well, you need a beautiful development platform, but most issue trackers just aren't helpful and they feel like a chore to use. But linear is different. It's developer first, incredibly fast, beautifully designed, and it's purpose built for how modern product teams work. With linear, you can streamline bug reporting and test tracking, plan and spec new features, and manage your long-term product roadmap. That's why Linear is the tool of choice for tech companies of all sizes.

30:46Half of Y Combinator companies build with Linear, and it powers Cash App, Scale AI, and Vercel. So here's your call to action. See for yourself why product teams love Linear. Visit Linear.app.twist to try Linear for free with your team and get 25 off your first year that's linear.app slash twist this came up yesterday here we go yeah this is this is the ai election isn't it it's the ai election it is and donald trump and i think it got deleted now but it's just it's in this guardian article where donald trump it says i accept but the entire thing was ai generated and what it says is here taylor wants you to vote for trump swifties for trump on their t-shirts none of this is real it's just and the headline is fake everything's fake according to the reports and so here we are i think you have to assume if it's not on the domain name of a credible source or the url of a credible twitter account person yeah or yeah you should assume that this but it's hard to find incredible twitter accounts because i can find a verified taylor swift and i may not you know yes the blue check marks becoming democratized has made it harder yeah you know you basically whatever these social networks decide to do they will eventually have the reputation that they earn the reputation you know of x is going to be it's a bit of a free-for-all it's you know uh freedom of speech first which means more trolls more bots more misinformation but they can't hold back the truth so if there is some truth about covid you know being in a lab you're going to get it first on x but you know or if there is something that has to do with another conspiracy theory uh you know or something that's breaking news you'll get it there first but you also have to check your sources and that i think consumers are smart i think they're going to realize they have to check sources over time and multiple sources and triangulate on the truth but what do you think about labeling yeah you think this is something that should be either self legislated you know the industry comes up with their own group like the mpaa did the movie the the movie industry came up with the mpaa rating so they didn't the government didn't create the ratings pg-13 r-rated that was created by the movie industry created them yep the industry self-policed.

33:13So what do you think has to happen here? Should there be federal laws, state local laws, should be self-policed? This is AI. And if you put an AI generated image up, you have to label it. And if you don't, you can lose your account. What do you think? I mean, I like the idea of the industry regulating themselves. We've talked about this before, where all this, the government has been trying to regulate and things are moving so quickly. so i like the general idea of the industry regulating themselves and and i do believe at least on um you know some of the meta properties they do call it out now when oh really you upload something yeah and you upload something and it's ai generated it will detect it and label it you know they'll say this is ai generated yeah the video game industry wound up doing this themselves as well advertising industry does this as well they have their own guidelines and code of conduct you know music industry does it with the parental advisory label if you remember that that was an industry-wide thing where they didn't want tipper gore you know al gore's wife yeah and the government regulated and they came out with hey this is parental advisory there could be some spicy language in that i think crypto tried to do that it didn't work um because crypto is such the wild west but i do think in ai if you're generating images it should put a watermark or something at the bottom generated by ai i don't think that's too much to ask i would rather see the industry regulate itself and get regulated so my best advice is if something is ai related it has a footer and it just says who produced it produced by whatever grok clawed stable diffusion version 2.0 it's just like a little line at the bottom and then if you want to crop it out you can but at least by default it's not cropped out i think that would be a major plus you know there was already some controversy this past week i don't know if you saw the article in the san francisco standard about ben horowitz and felicia horowitz and someone did the uh the and you know they they switched from the democratic party supporting democrats to supporting republicans is pretty widely known ben horowitz did a podcast with mark and treason about their support of trump and and why they're doing it for very practical reasons around you know supporting the technology industry but they put ben and felicia from like a you know not a paparazzi photo but from like a gala photo yeah yeah yeah they just put mega hats on them and did you know that was an illustration or not did you think that was real did you get fooled by it i'm curious no i i mean i i didn't take you know like obviously i was following everything that's happened and i don't take people in silicon valley that are deciding to report public republicans as folks that are wearing mega hats so immediately i um you know i assumed it was fake mark and dresen's position was they were lying and they did this to covertly confuse people and i was like yeah you know i could see maybe five or ten one in 20 people or one in 10 people maybe glancing at it and thinking it was real but it didn't look real but they should have been more explicit i think and that's like a perfect example where in the footer it did say this is an illustration yeah yeah but i think it could have been more clear and you know again you get the reputation you deserve over time the san francisco standard now is going to have a reputation yeah of of doing those kind of illustrations like spy magazine did so you will assume like mad magazine or snl that that's what you're dealing with when you work with that publication it could be like the national inquire right like that it's you know they're willing to do stuff like that yeah and i think um maybe we'll just keep segwaying through here yeah as well jason you know because it's related to it and i want to make sure we continue to touch on some interesting demos which is the image generation model that powers uh grok with a k is called flux and so flux is made up it's an open source project which is really interesting and it's made up of a bunch of people that came out of stability ai and what you can see in this i just you know pulled up i didn't want to do side by sides but um the folks at tom's guide have gone through the work to do mid-journey versus flux right and you know they have some great examples here and you you basically you can see they're effectively on par right okay so flox is its own open source open source mid journey is closed source source correct is it coming from the same code base in some way or the same training data because these are very similar well what i would say is almost all of these models like you know we've talked about before for LLMs where they were trained on large corpuses of web data that's available, right?

38:09Similarly, there's large corpuses of images that are available for training on. And so once you figure out your strategy and you go down the training path, common crawl, we've talked about this on the pod before. That's what most of the LLM folks were using to get data from all the open internet. Similarly, there's, and even part of the Common Crawl project, I think they have image databases that they use. And that's why they come out looking similar-esque. The point that I'm trying to make here is that we now, again, have an open source project in Flux that is capable of generating images. And so within Grok, it's not an image model that they created.

38:52it's a uh they're using flux as the uh the model underneath it yeah yeah i mean it's yeah yeah i'm just saying we're you know we're at this position now where these images are getting so close to reality compared to the last you know call it 24 months that you know if you study them you can figure it out but if you glance at them you will not know it's fake yeah right i think that's where we're at glancing you'll get fooled studying 50 50 if you get fooled you might be able to figure it out if you see fingers or some weird artifacts but you know what to look for and you you find that right and so and so the big deal this week also was um we'll do another kind of real-time demo here too because we know jake we know jake how the demos good demos yeah yeah so the thing that happened this week i'm gonna switch tabs a few times here so the thing is that um people had flux generating these ted talkers like in this jake you know if i showed you this you would not be able to tell me you know hold on i can tell you right now on the left yeah and the right hmm you know it's i have to zoom in here and really get detailed to figure out what's going on here um the one on the right seems a little bit fake and the one on the left looks real uh no they're both prompts oh they're both prompts this is the prompt from the left huh and this is the prompt from the right oh sorry i lost the alt tag i mean yeah so the alt i mean it's a photo of a beautiful smiling burnout with long messy hair i mean the level of detail is incredible now yeah yeah and then we'll do one ourselves so you can see how straightforward it is here what people were able to do with this is animate these and so so someone took that aligned it with some sound and we're going to do a demo of runway uh ml v2 and i'm just going to play let me just rewind this back and you're all so kind can you believe that i'm not actually real but then what is real after all so yeah close i mean it doesn't that one i would know it didn't pass the uncanny valley because the lip sync wasn't tight enough the voice sounds very real the image looks very real but it's not coming together perfectly but i'd say 85 of the way there what would you say oh man And, you know, I'm kind of, you know, like if you do the work, I think you can definitely fool someone, J.

41:37Cal. And that's going to be one of my tests coming up, right? It's when we get fooled. Yeah. Yeah, it's when you get fooled. Well, I mean, something's going to happen. Like, what do you think the chances are before the election, the week before somebody drops a video of one of the four principals doing something inappropriate and says, look at this. Wow, this person said this word or that slur word. or you know i don't know touch somebody inappropriately who knows what they come up with or you know i don't know through a bottle through a police car window like you could come up with anything and then would that actually come out in time and not be able to be debunked and actually impact the election you know in the way people claim hillary's emails you know being leaked somehow affected you know the election what do you think is that possible well here's what we're going to do jake jake how i'm inspired by your um lawnmower yeah so i did image of brad pitt on a lawnmower right right yes yeah very similar to me yeah it's how i look similar similar body type the slim down and the the j ranch yeah so what we're going to do now is i'm going to go to runway so runway ml as uh they've done a lot of new things and they have this new model where you can go from image to video so i'm going to upload the video that we just created it's going to get uploaded here i'm going to select it i'm going to you know put it in the frame a bit here let's just do it like that and this is runway ml.com yes runway ml.com and uh i'm just i'm not even going to give it a prompt because you generate me 10 seconds and um this has been pretty fast today so i'm doing it live i didn't have to do it before i wonder if it's going to understand that that's a lawnmower and make it go and drive around yeah because one of the first steps is understand what's happening in this image right so and i didn't even tell me what's in this image we could have given it a description we didn't even do that and the reason we're kind of going through this process is just showing how simple this entire process has become and so um and you know so it's not perfect obviously the wheels are turning it's a little bit you know the parallel backwards but but but you know we did it in 10 seconds jake hell yeah i mean it's a moving image of him driving it looks he waves a bit but he waves a bit but you could have him turn you could say after four seconds turn so you start thinking about i was on my youtube because i like to i like star wars and stuff like that you know once in a while i'll fan film and the fan films typically will use cut scenes from video games or some found footage and they'll reuse the same stuff from the original series or the clone wars you know they'll stitch stuff together and then they'll have like themselves acting in their backyard as jedi but you could see somebody uploading a picture of obi-wan kenobi and then say have them open the lightsaber do this do that and it would like start to make it right so here we are creativity is just unlimited and you said animate this such that the driver is turning in circles interesting and we're starting to get to a level of speed that's not absurdly slow so these are big moments i think well remember just like when we started doing these demos jay cal i couldn't even do these live right because they would take so long you had to do it yeah they would take way too long and so like i don't think it got him turning in circles but you know it's better it's out a bit but it's zooming out which is incredible and maybe oh no he is coming in a circle looks like yeah a little bit you know well what we're seeing is the audio and the still images are really moving quickly video is still taking some time but that makes sense because a video is 30 frames a second 60 frames a second so it's that many images but you know yeah this is going to become perfect over time here we go and you don't hear see even in the original image account some of it's missing and how it's pulled it out and animated that in where we're going to is incredible and i'm gonna i'm just gonna see what it does on this hard right turn to see if it gets it right if not i'm gonna show you something in a second in my next window where someone has created uh just in the last couple of days here let's see if it gets the turn right on this one no i still not getting the turn right so i guess we have to i guess we're still good we're not oh wait wait no no no his hand went to the wheel and he is moving around yeah yeah so what are be interesting is over time is this will become real time you'll say okay have him driving have him make a left turn yes have him turn to the camera and smile it'll be doing that from voice prompts as you talk just like a director james cameron might be over the shoulder of a video editor you know doing stuff or if you were making an invite for working with the graphic designer you were making an invite for a birthday party you might say okay you add some balloons and they real-time to change the image.

46:37I think that's where we're going is real-time editing of the stuff. And I'd say maybe we're 24 months away from a crisp real-time edit, right? Yeah. Well, here's one thing - Which is really about the silicon or the software to get there? What do you think? What we're seeing in the convergence of both, right? We're seeing the silicon go faster. Remember when we started, we couldn't do these. I'd have to do them before, weighed in big cues. Now I just did those live, right? In front of us here. Yeah, incredible. And the quality of them, you know, it's not quite there, but like we're doing it like we're, we're like, it's not our day job.

47:07Right. So, and what I will say is I want to show you this one, which I thought was really cool. Someone made a fan video and, you know, think about like sort of going back to where we started our conversation on capabilities, or if you're looking for a job or you want to do something like that. So imagine you're, you're, you know, you're trying to break into creative at a big design or fashion house. So someone created this video. So let me show it to you. Okay. So we've got a Gucci video.

47:39wow that is some cyberpunk awesomeness i like the headphones they remind me of my focal utopias

47:50incredible i mean if you were to shoot this this would cost by the way each model would be thousands of dollars a day you'd need them for a day or two give us give us the breakdown if you needed to make this ad for you know quarter million dollars to be you know for 30 seconds i'm thinking 10 000 a second 300 grand plus plus so yeah wow i mean i just think it would be 300 000 for this level because you have makeup hair um you have a set you've got putting the music aside which this track is a track that's available it wasn't made by somebody specifically for this but put the video editing aside as well because that's not that much money you need an art director you need a makeup person you need three or four maybe let's say five models director of lighting and the set design here is not de minimis like i don't know if you saw all these floral arrangements to do that kind of stuff like each of these shots might take a couple of hours to set up that's the other thing is like set design and creating these things like hit play on it again and i'll just show you how many like there's a couch set up it's the same couch in that one okay there's that floral arrangements there's that backdrop there's i mean a liquid melting wall you know and then there's like four other backgrounds so each of those would be wallpapered or you know like pinned up you know uh on a on a frame and then this one with the that with the wallpaper and pouring melting paint over it like that kind of shit is really hard to do you you might spend a day trying to break that cgi or you got to go pay for the cgi yeah this is all these look like practical effects not cgi to you wouldn't do these in cgi you would do this all practical cgi is way too slow and time consuming for this but on a practical basis you'd have to build that wall pour the paint on it get the camera set up throw that all away put another wall pour the paint on it take another shot at it you know change the lighting whatever i think that's like maybe 10 hours of work to just to get that one shot perfect five to ten hours of work and that's you know let's say four or five people they each have a day rate of a couple of thousand so that's when this stuff really adds up you know and why these kind of commercials you're wondering like how is this commercial so expensive it's like you know four or five people and i don't think any of the one shots or scenes takes up more than five seconds so in 30 seconds you got six seven scenes or sets you've got a background there right yeah that's a fake background yeah yeah okay fine you know that background you have there if you had to set that up that's some artist painting the wall getting the lighting perfect and buying all that stuff when i first looked at the background i thought it was real for a second yeah it took me well three seconds to just make sure i was trying to animate it so they were moving you know but uh that was one of my tests but i well i mean it's funny you mentioned that there's no reason in grok right now i couldn't say you know give me a star wars background with obi-wan in it and it would you know be playing it in the background or you know hey show me hoth and then go to tatooine and then go to mos eisley and it could just make those scenes in the background and know all that context it could be a lot of fun yeah all right give me another demo what else you got okay a while uh last one last one we've got a lot queued up which is which is awesome but uh yeah you know uh we'll keep doing them jacob now we're back so we're back we're back every two weeks now we're gonna get on a good cadence so here's one i i really like it's kind of what we're talking about before it's called uh avoca and what they've done is they specifically created an AI platform for HVAC plumbing and electrical businesses.

51:37And the idea is, look, the hardest thing for these, these are usually small businesses. They don't have call centers. They don't have anything like that. They mostly have their number going to their cell phone or Google voice. But what it allows them to do is handle all their calls and basically connect into their systems and let them make appointments and do all that kind of stuff and so this is one where we're starting you know when we talk about this ai air gap it doesn't exist because what's what's starting to happen is there's a whole segment of success society and um that can leverage this technology to make their life better in the same way the internet helped them get on with web pages and yelp and google reviews now they can have a bunch of their business outsourced and handled by by ai interesting uh so much of this like yeah you see there they're like wow so i'm gonna play this one right here just really quickly yeah so this is an ai agent handling the phone thanks for calling nice heating and air home of the cozy club how can i make your home feel nice today hello hi there how can i help you today hello Hi.

52:46Yes. Hey there. We've been a customer for four years, but I don't know if you have still a record. I want to make an appointment for a maintenance. I guess our air conditioning is not cooling that much. Got it. Let's get you scheduled for maintenance. I like the typing sounds. You hear the typing sounds? Yeah. Fake typing sounds? I'm not going to let it play you, but you can see there, obviously the agent is AI, and the woman speaking is um you know has a little bit of an accent but you can see them working together and the benefit of this kind of stuff to people working on the ground you know hard work in hvac electrical plumbing is going to be incredible and i'm really excited to see that yeah we have a very interesting um company in the accelerator right now called master tech ai oh okay okay and so what they're doing is since you were in the vehicle business as you know there are known issues with different models so here you know and there are these technical service bulletins tsb yeah so that if you're in the industry you know what a tsb is any known issues with rattle noise from roof and it's like based on service information 2022 22 Ford escape, yada, yada.

54:05Um, so they now are taking all of those TSBs and all other documentation, putting it into their own model. Um, and then they combined it with a VIN scanner. And so now, you know, you scan the VIN on this car, as you can see here and you're off to the races and then you, you know, and now you're a technician. Think about each step in the way to fixing this car that has some noise right engine noise well you know now you've got your whole series the person who's running the you know the bays at this garage let's say they have five bays five you know three technicians think about all the time that's wasted getting these things up and running figuring out what the parts are talking to a senior person hey i'm trying to get noise where should i start it's like oh start on the engine then look at this then go here you know you start putting together all this data into a language model and then imagine you've got you know uh you know it's a co-pilot for the real world is how to think about it right and you know they're not charging enough money but you know if you have a small team with less than eight members a hundred dollars per person you know what is the mechanic charge per hour now in the bay area 200 an hour 300 an hour maybe more probably 300 an hour and if you're in another part you know if you're in texas where i am in Austin, maybe it's half that.

55:25It's$1.25 or something. For the cost of one hour,$100, $150, you can make your whole team bionic. You're going to save 10 hours a week, five hours a week, I think, out of the gate. And then the reinforcement learning is a really interesting part for me. So when I was jamming with them, I said, hey, is it possible to put on a pair of spectacles that have cameras or wear a headband with cameras on it and start recording? the ray-bans have like the ray-bans right would be one but if you didn't want to wear the glasses there are cameras you know from dgi whatever that mount when you're skiing whatever so you just throw a vest on with the camera now i'm working on this stuff and i'm talking and just record everything you know so now you got a honda a place that does hondas and toyotas you got another place doing mercedes and bmw you know how they kind of split these things up yeah and they're talking the language model it's talking back to them but they're videotaping hey what are you seeing here what do you think and it's like the training data becomes proprietary yes or even if even if they're not talking to it like you put your master tech you just wear it for a year wow there's some great ideas in there right just to yeah so i keep finding these verticalized ai lunatics and you know it's three people so if you're one of those people and you got a crazy the idea come to founder.university apply we might put 25k or 125k into your idea and be your first investor we've done 125k checks now i mean i'm kind of a lunatic but i just thought you know if i could every fund put in 2.5 million of the fund 25k at a time to get more people to just incorporate their company and become a formal company if half of those go on to an accelerator and half of those go on to a seed round you know we're going to own two and a half percent for 25k of 25 viable companies that got to their seed round you know we just have to hit one to make it work and we can really help more entrepreneurs pursue these crazy visions driving entrepreneurship i mean like the government should just double you up right off the bat at this point small business administrator or something it's you know it's it's a think about your first company if somebody with you know listen i'm not i'm not like having delusions of grandeur here but if somebody like me or my team vetted you as one of a hundred companies and gave you that 25k as your first company that opens a couple of doors so we have a company called tax gpt and they uh got into you i think you met them it's an ai tax assistant and they're kind of going crazy we did the same thing with them you know they're a co-pilot i'll show you this one and this is my entire life now is just verticalized you know businesses using ai and so incredible now they're doing a co-pilot for taxes and it's really working we gave them i think their first 25k then they went through our accelerator now they're in y combinator and you don't need a ton of money to start a company is one of the big messages i want to send to people you know you get that first 25k check you give it to your lawyers you set up your servers whatever it is then the 125k from us or from Y Combinator or Techstars, whoever you jam with, that could get two employees, they're kind of ramen for the next six months, what we call ramen funding in the industry.