Tech
tech
Jon Keegan
11/11/24

If AI models can ace every test, it’s actually not a good thing

AI companies are eager to show how much “smarter” and more capable their latest large language models are. To highlight these improvements, companies point to scores on widely used standardized tests like HellaSwg or MMLU as AI benchmarks to flex on how well the tools can write code or solve problems.

But these tools have some serious flaws, with many of the most-cited benchmarks created to test much simpler AI systems years before chatbots like ChatGPT hit the scene. Many of the tools were created by scraping amateur websites and lacked expert oversight. And because these benchmarks have been widely available on the internet for years, AI models have likely seen them as part of their training data.

The Financial Times reports that AI companies are now racing to build a new class of benchmarks, as today’s AI models all score at or above 90% on these tests.

As AI companies start to pivot to a model of AI “agents” that can control your computer and use multistep reasoning, new benchmarks are being created that can test these capabilities in a more meaningful way.

But a lack of regulatory oversight or industry standards means the public must rely on companies like Meta and OpenAI to test their own products for safety, and provides no standard way to compare the results between them.

But these tools have some serious flaws, with many of the most-cited benchmarks created to test much simpler AI systems years before chatbots like ChatGPT hit the scene. Many of the tools were created by scraping amateur websites and lacked expert oversight. And because these benchmarks have been widely available on the internet for years, AI models have likely seen them as part of their training data.

The Financial Times reports that AI companies are now racing to build a new class of benchmarks, as today’s AI models all score at or above 90% on these tests.

As AI companies start to pivot to a model of AI “agents” that can control your computer and use multistep reasoning, new benchmarks are being created that can test these capabilities in a more meaningful way.

But a lack of regulatory oversight or industry standards means the public must rely on companies like Meta and OpenAI to test their own products for safety, and provides no standard way to compare the results between them.

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tech
Jon Keegan
9/11/25

OpenAI and Microsoft reach agreement that moves OpenAI closer to for-profit status

In a joint statement, OpenAI and Microsoft announced a “non-binding memorandum of understanding” for their renegotiated $13 billion partnership, which was a source of recent tension between the two companies.

Settling the agreement is a requirement to clear the way for OpenAI to convert to a for-profit public benefit corporation, which it must do before a year-end deadline to secure a $20 billion investment from SoftBank.

OpenAI also announced that the controlling nonprofit arm would hold an equity stake in the PBC valued at $100 billion, which would make it “one of the most well-resourced philanthropic organizations in the world.”

The statement read:

“This recapitalization would also enable us to raise the capital required to accomplish our mission — and ensure that as OpenAI’s PBC grows, so will the nonprofit’s resources, allowing us to bring it to historic levels of community impact.”

Settling the agreement is a requirement to clear the way for OpenAI to convert to a for-profit public benefit corporation, which it must do before a year-end deadline to secure a $20 billion investment from SoftBank.

OpenAI also announced that the controlling nonprofit arm would hold an equity stake in the PBC valued at $100 billion, which would make it “one of the most well-resourced philanthropic organizations in the world.”

The statement read:

“This recapitalization would also enable us to raise the capital required to accomplish our mission — and ensure that as OpenAI’s PBC grows, so will the nonprofit’s resources, allowing us to bring it to historic levels of community impact.”

tech
Rani Molla
9/11/25

BofA doesn’t expect Tesla’s ride-share service to have an impact on Uber or Lyft this year

Analysts at Bank of America Global Research compared Tesla’s new Bay Area ride-sharing service with its rivals and found that, for now, its not much competition for Uber and Lyft. “Tesla scale in SF is still small, and we dont expect impact on Uber/Lyft financial performance in 25,” they wrote.

Tesla is operating an unknown number of cars with drivers using supervised full self-driving in the Bay Area, and roughly 30 autonomous robotaxis in Austin. The company has allowed the public to download its Robotaxi app and join a waitlist, but it hasn’t said how many people have been let in off that waitlist.

While the analysts found that Tesla ride-shares are cheaper than traditional ride-share services like Uber and Lyft, the wait times are a lot longer (nine-minute wait times on average, when cars were available at all) and the process has more friction. They also said the “nature of [a] Tesla FSD ‘driver’ is slightly more aggressive than a Waymo,” the Google-owned company that’s currently operating 800 vehicles in the Bay Area.

APPLE INTELLIGENCE

Apple AI was MIA at iPhone event

A year and a half into a bungled rollout of AI into Apple’s products, Apple Intelligence was barely mentioned at the “Awe Dropping” event.

Jon Keegan9/10/25
tech
Jon Keegan
9/10/25

Oracle’s massive sales backlog is thanks to a $300 billion deal with OpenAI, WSJ reports

OpenAI has signed a massive deal to purchase $300 billion worth of cloud computing capacity from Oracle, according to a report from The Wall Street Journal.

The report notes that the five-year deal would be one of the largest cloud computing contracts ever signed, requiring 4.5 gigawatts of capacity.

The news is prompting shares to pare some of their massive gains, presumably because of concerns about counterparty and concentration risk.

Yesterday, Oracle shares skyrocketed as much as 30% in after-hours trading after the company forecast that it expects its cloud infrastructure business to see revenues climb to $144 billion by 2030.

Oracle shares were up as much as 43% on Wednesday.

It’s the second example in under a week of how much OpenAI’s cash burn and fundraising efforts are playing a starring role in the AI boom: the Financial Times reported that OpenAI is also the major new Broadcom customer that has placed $10 billion in orders.

Yesterday, Oracle shares skyrocketed as much as 30% in after-hours trading after the company forecast that it expects its cloud infrastructure business to see revenues climb to $144 billion by 2030.

Oracle shares were up as much as 43% on Wednesday.

It’s the second example in under a week of how much OpenAI’s cash burn and fundraising efforts are playing a starring role in the AI boom: the Financial Times reported that OpenAI is also the major new Broadcom customer that has placed $10 billion in orders.

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