ChatGPT App Store, TEMU Competes With Amazon and Liberty's F1 Strategy

Reformed Millennials - Learn Earn and Invest

Listen in podcast app and follow below for the podcast topic arc.

* F1 and Liberty Media

* Stock Market Update

* Dealerships Aren’t Taking EV Orders

* Chinese E-commerce stack (TikTok, Shein and TEMU)

* Recommendations and Links

Listen on Apple, Spotify, or Google Podcasts.

Market Update📈📉

Welcome back.

The market ripped into the close, closing off a >10% rally in stocks in November.

It’s incredible how quickly a narrative can change. Price is powerful.

Todays important reading is all from the Open Ai Developer day:

OpenAI's Dev Day had a vibrancy and buzz reminiscent of the excitement typically seen at Apple's WWDC keynotes. In closing, two overarching themes stand out about OpenAI’s direction, highlighting the company's strategic approach and future ambitions.

* Vertical Integration Strategy: OpenAI's efforts in broadening the range of its model modalities, coupled with reductions in pricing and latency, reflect a strategic move towards vertical integration and getting more workloads into production. This includes extending into areas like storage, memory, and retrieval and also for some customers fine-tuning GPT-4 and custom models. This indicate a strong focus on capturing a larger share of value in delivering models to enterprise clients. The extent of this vertical integration and its impact on surrounding tooling will be important to watch.

* Executing on End-user Ambitions in Parallel: Alongside its B2B/developer focused initiatives, OpenAI is also making significant strides in going direct to end consumers. Key developments include the continued enhancement of ChatGPT, particularly the pro plan and notably, the launch of a platform for users to create and list GPTs via chat/UI in the GPT Store. This raises intriguing questions: Could the GPT Store emerge as the next big app marketplace? And do consumers prefer centralized access to GPT functionalities via ChatGPT, or do they seek these capabilities integrated into their various existing apps?

Announcements from the video:

I. GPT-4 Turbo boasts a number of improvements vs GPT-4:

* 128K context length which is a significant jump from 32K

* Better cost (~3x cheaper) and latency (2x faster)

* Improved instruction following and function calling

Implications:

* More workloads: OpenAI announced that 92% for Fortune 500’s are already using OpenAI. Improved cost and latency should help move more of these into production. In addition, the longer context length closes a gap with Anthropic’s models, and should help OpenAI maintain/gain share vs them.

* Long context windows: Longer context length closes a gap with Anthropic’s models, and should help OpenAI maintain/gain share vs them. They will also help replace techniques such as RAG for some use cases, though as the analysis below shows long context windows are not always a substitute for RAG even in smallish context lengths since accuracy tends to degrade as prompts get longer.

II. Multimodality in GPT-4

Multimodal was another big theme, particularly on the API side for developers. OpenAI announced that the following would be available via APIs in GPT-4 and independently:

* Dall-E 3 for image generation

* A new version of Whisper, v3, for speech-to-text

* A text-to-speech API for the first time, which is competitively priced

* A vision API for image understanding which was already starting to roll out

Implications:

* Impact on other models: It’ll be interesting to see how domain specific models in each of these areas fare vs OpenAI’s bundled approach.

* Multimodal applications: As AI's sensory capabilities continue to broaden and the state of the art continue to improve, it paves the way for novel applications of it which integrate the modalities.

III. The GPT Store

OpenAI also announced the ability for anyone to create their own “GPTs” which are basically custom mini GPTs with a specific prompt and knowledge base and tool access. These GPTs can then be listed on a GPT Store and shared with others and monetised.

A few things stand out:

* Ease of creation: GPTs can be created via a no-code UI and by simply having a conversation. They allow you to upload files and give it additional knowledge, and also help craft the right prompts based on what you’re trying to achieve, and can access external APIs.

* The Store itself: These can then be listed on a store and monetized over time, suggesting OpenAI’s ambitions of creating an App Store for AI and a central place where people go to to use AI in ChatGPT.

IV. Assistants API

OpenAI also announced an assistants AI, which provides additional functionality and simplifies some of the things developers were doing using other tools. In some ways, its the API version of the functionality made available for creating “GPTs” above.

It features:

* Memory of threads and conversations with the chatbot

* Native retrieval and handling of external files directly, allowing to easily add external knowledge to the model

* Enhanced Code interpreter and function calling for using other tools made available as part of the API

Twitter links from the pod:

* Gavin Bakers video of the latest Space X Launch

* Car Dealership Guy talks about the future of cars

* Best Business models - Thought exercise

*

Podcast & YouTube Recommendations🎙

* AirBnb’s Brian Chesky talks about his new Playbook:

* War All The Time: Martyrmade Podcast:

* Future of office now that weWork is bankrupt:

Best Links of The Week🔮

* Canadian Debt Looms Large - Trevor Tombe

* Super Human has put out a how to guide on using ChatGPT - Superhuman

* China is the worlds Shopping Cart - Rest of world.org

* More Powerful GPU’s and AI Models. “One thing we can count on for some decades now, is technology getting better and cheaper over time. The AI Tech wave, even in its current early days, is following the template of the PC and Internet waves in that regard.” - Michael Parekh

* Nvidia is rolling out their next generation GPUs as well, led by founder/CEO Jensen Huang: “Nvidia on Monday unveiled the H200, a graphics processing unit designed for training and deploying the kinds of artificial intelligence models that are powering the generative AI boom.” - CNBC

* Crowdfunding Takes a Piece of Calgary - Globe and Mail

Disclaimer:

Investing in equities, fixed-income instruments and/or alternative asset classes involves substantial risk of loss. Any action you may take as a result of the information presented on this website, blog or in any Reformed Millennials Podcast (a “podcast”) is your own responsibility. By opening this page and/or listening to a podcast, you accept and agree to the terms of this full legal disclaimer. The information on this website, blog and in any podcast is presented as a general educational, informational and entertainment resource only. While Joel Shackleton is registered to provide investment advice as an Advising Representative this website, blog and any podcast does not provide, and should not be construed as providing, individualized investment, tax or insurance advice, nor as containing any recommendation to buy or sell any specific securities or otherwise make any other form of investment, or take any tax or insurance decision. Nothing contained on this website, blog or in any podcast should be construed or interpreted by you to mean that an investment in any securities presented or discussed would be suitable for you in your particular circumstances. Joel Shackleton specifically disclaim that any viewer of this website, blog or any podcast should rely in any way on any of their contents as investment, tax or insurance advice or as an investment, insurance or tax recommendation. Viewers are encouraged to consult with their individual investment advisor and other financial professionals prior to taking any potential investment actions or making any insurance or tax decisions. The views and opinions expressed herein are the personal views and opinions of Joel Shackleton and any other specific contributor to the blog or podcast only and do not necessarily reflect the views or opinions of their Firm or any of its other registered individuals or employees in partnership with Joel and his guests. Joel Shackleton disclaims any obligation to update any of the information set out on this website or any blog or podcast going-forward.

This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit reformedmillennials.substack.com