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WASHINGTON, DC – SEPTEMBER 13: OpenAI CEO Sam Altman speaks with reporters on his arrival to the Senate bipartisan Artificial Intelligence (AI) Insight Forum on Capitol Hill in Washington, DC, on September 13, 2023. (Photo by Elizabeth Frantz for The Washington Post via Getty Images)

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Now more than a year after ChatGPT’s introduction, the biggest AI story of 2023 may have turned out to be less the technology itself than the drama in the OpenAI boardroom over its rapid advancement. During the ousting, and subsequent reinstatement, of Sam Altman as CEO, the underlying tension for generative artificial intelligence going into 2024 is clear: AI is at the center of a huge divide between those who are fully embracing its rapid pace of innovation and those who want it to slow down due to the many risks involved.

The debate — known within tech circles as e/acc vs. decels — has been making the rounds in Silicon Valley since 2021. But as AI grows in power and influence, it’s increasingly important to understand both sides of the divide.

Here’s a primer on the key terms and some of the prominent players shaping AI’s future.

e/acc and techno-optimism

The term “e/acc” stands for effective accelerationism.

In short, those who are pro-e/acc want technology and innovation to be moving as fast as possible.

“Technocapital can usher in the next evolution of consciousness, creating unthinkable next-generation lifeforms and silicon-based awareness,” the backers of the concept explained in the first-ever post about e/acc.

In terms of AI, it is “artificial general intelligence”, or AGI, that underlies debate here. AGI is a super-intelligent AI that is so advanced it can do things as well or better than humans. AGIs can also improve themselves, creating an endless feedback loop with limitless possibilities.

OpenAI drama: Faster AI development won the fight

Some think that AGIs will have the capabilities to the end of the world, becoming so intelligent that they figure out how to eradicate humanity. But e/acc enthusiasts choose to focus on the benefits that an AGI can offer. “There is nothing stopping us from creating abundance for every human alive other than the will to do it,” the founding e/acc substack explained.

The founders of the e/acc started have been shrouded in mystery. But @basedbeffjezos, arguably the biggest proponent of e/acc, recently revealed himself to be Guillaume Verdon after his identity was exposed by the media.

Verdon, who formerly worked for Alphabet, X, and Google, is now working on what he calls the “AI Manhattan project” and said on X that “this is not the end, but a new beginning for e/acc. One where I can step up and make our voice heard in the traditional world beyond X, and use my credentials to provide backing for our community’s interests.”

Verdon is also the founder of Extropic, a tech startup which he described as “building the ultimate substrate for Generative AI in the physical world by harnessing thermodynamic physics.”

An AI manifesto from a top VC

One of the most prominent e/acc supporters is venture capitalist Marc Andreessen of Andreessen Horowitz, who previously called Verdon the “patron saint of techno-optimism.”

Techno-optimism is exactly what it sounds like: believers think more technology will ultimately make the world a better place. Andreessen wrote the Techno-Optimist Manifesto, a 5,000-plus word statement that explains how technology will empower humanity and solve all of its material problems. Andreessen even goes as far as to say that “any deceleration of AI will cost lives,” and it would be a “form of murder” not to develop AI enough to prevent deaths.

Another techno-optimist piece he wrote called Why AI Will Save the World was reposted by Yann LeCun, Chief AI Scientist at Meta, who is known as one of the “godfathers of AI” after winning the prestigious Turing Prize for his breakthroughs in AI.

Yann LeCun, chief AI scientist at Meta, speaks at the Viva Tech conference in Paris, June 13, 2023.

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LeCun labels himself on X as a “humanist who subscribes to both Positive and Normative forms of Active Techno-Optimism.”

LeCun, who recently said that he doesn’t expect AI “super-intelligence” to arrive for quite some time, has served as a vocal counterpoint in public to those who he says “doubt that current economic and political institutions, and humanity as a whole, will be capable of using [AI] for good.”

Meta’s embrace of open-source AI underlies Lecun’s belief that the technology will offer more potential than harm, while others have pointed to the dangers of a business model like Meta’s which is pushing for widely available gen AI models being placed in the hands of many developers.

AI alignment and deceleration

In March, an open letter by Encode Justice and the Future of Life Institute called for “all AI labs to immediately pause for at least six months the training of AI systems more powerful than GPT-4.”

The letter was endorsed by prominent figures in tech, such as Elon Musk and Apple co-founder Steve Wozniak.

OpenAI CEO Sam Altman addressed the letter back in April at an MIT event, saying, “I think moving with caution and an increasing rigor for safety issues is really important. The letter I don’t think was the optimal way to address it.”

OpenAI's Sam Altman on AI regulation: We can manage this for sure

Altman was caught up in the battle anew when the OpenAI boardroom drama played out and original directors of the nonprofit arm of OpenAI grew concerned about the rapid rate of progress and its stated mission “to ensure that artificial general intelligence — AI systems that are generally smarter than humans — benefits all of humanity.”

Some of the ideas from the open letter are key to decels, supporters of AI deceleration. Decels want progress to slow down because the future of AI is risky and unpredictable, and one of their biggest concerns is AI alignment.

The AI alignment problem tackles the idea that AI will eventually become so intelligent that humans won’t be able to control it.

“Our dominance as a species, driven by our relatively superior intelligence, has led to harmful consequences for other species, including extinction, because our goals are not aligned with theirs. We control the future — chimps are in zoos. Advanced AI systems could similarly impact humanity,” said Malo Bourgon, CEO of the Machine Intelligence Research Institute.

AI alignment research, such as MIRI’s, aims to train AI systems to “align” them with the goals, morals, and ethics of humans, which would prevent any existential risks to humanity. “The core risk is in creating entities much smarter than us with misaligned objectives whose actions are unpredictable and uncontrollable,” Bourgon said.

Government and AI’s end-of-the-world issue

Christine Parthemore, CEO of the Council on Strategic Risks and a former Pentagon official, has devoted her career to de-risking dangerous situations, and she recently told CNBC that when we consider the “mass scale death” AI could cause if used to oversee nuclear weapons, it is an issue that requires immediate attention.

But “staring at the problem” won’t do any good, she stressed. “The whole point is addressing the risks and finding solution sets that are most effective,” she said. “It’s dual-use tech at its purist,” she added. “There is no case where AI is more of a weapon than a solution.” For example, large language models will become virtual lab assistants and accelerate medicine, but also help nefarious actors identify the best and most transmissible pathogens to use for attack. This is among the reasons AI can’t be stopped, she said. “Slowing down is not part of the solution set,” Parthemore said.

Air Force Secretary on AI technology on the battlefield: There will always be humans involved

Earlier this year, her former employer the DoD said in its use of AI systems there will always be a human in the loop. That’s a protocol she says should be adopted everywhere. “The AI itself cannot be the authority,” she said. “It can’t just be, ‘the AI says X.’ … We need to trust the tools, or we should not be using them, but we need to contextualize. … There is enough general lack of understanding about this toolset that there is a higher risk of overconfidence and overreliance.”

Government officials and policymakers have started taking note of these risks. In July, the Biden-Harris administration announced that it secured voluntary commitments from AI giants Amazon, Anthropic, Google, Inflection, Meta, Microsoft, and OpenAI to “move towards safe, secure, and transparent development of AI technology.”

Just a few weeks ago, President Biden issued an executive order that further established new standards for AI safety and security, though stakeholders group across society are concerned about its limitations. Similarly, the U.K. government introduced the AI Safety Institute in early November, which is the first state-backed organization focusing on navigating AI.

Britain’s Prime Minister Rishi Sunak (L) attends an in-conversation event with X (formerly Twitter) CEO Elon Musk (R) in London on November 2, 2023, following the UK Artificial Intelligence (AI) Safety Summit. (Photo by Kirsty Wigglesworth / POOL / AFP) (Photo by KIRSTY WIGGLESWORTH/POOL/AFP via Getty Images)

Kirsty Wigglesworth | Afp | Getty Images

Amid the global race for AI supremacy, and links to geopolitical rivalry, China is implementing its own set of AI guardrails.

Responsible AI promises and skepticism

OpenAI is currently working on Superalignment, which aims to “solve the core technical challenges of superintelligent alignment in four years.”

At Amazon’s recent Amazon Web Services re:Invent 2023 conference, it announced new capabilities for AI innovation alongside the implementation of responsible AI safeguards across the organization.

“I often say it’s a business imperative, that responsible AI shouldn’t be seen as a separate workstream but ultimately integrated into the way in which we work,” says Diya Wynn, the responsible AI lead for AWS.

According to a study commissioned by AWS and conducted by Morning Consult, responsible AI is a growing business priority for 59% of business leaders, with about half (47%) planning on investing more in responsible AI in 2024 than they did in 2023.

Although factoring in responsible AI may slow down AI’s pace of innovation, teams like Wynn’s see themselves as paving the way towards a safer future. “Companies are seeing value and beginning to prioritize responsible AI,” Wynn said, and as a result, “systems are going to be safer, secure, [and more] inclusive.”

Bourgon isn’t convinced and says actions like those recently announced by governments are “far from what will ultimately be required.”

He predicts that it’s likely for AI systems to advance to catastrophic levels as early as 2030, and governments need to be prepared to indefinitely halt AI systems until leading AI developers can “robustly demonstrate the safety of their systems.”

WIRED's Steve Levy on the AI arms race: OpenAI doesn't have the 'invulnerability' it once had

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How TikTok’s rise sparked a short-form video race

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How TikTok’s rise sparked a short-form video race

TikTok’s grip on the short-form video market is tightening, and the world’s biggest tech platforms are racing to catch up.

Since launching globally in 2016, ByteDance-owned TikTok has amassed over 1.12 billion monthly active users worldwide, according to Backlinko. American users spend an average of 108 minutes per day on the app, according to Apptoptia.

TikTok’s success has reshaped the social media landscape, forcing competitors like Meta and Google to pivot their strategies around short-form video. But so far, experts say that none have matched TikTok’s algorithmic precision.

“It is the center of the internet for young people,” said Jasmine Enberg, vice president and principal analyst at Emarketer. “It’s where they go for entertainment, news, trends, even shopping. TikTok sets the tone for everyone else.”

Platforms like Meta‘s Instagram Reels and Google’s YouTube Shorts have expanded aggressively, launching new features, creator tools and even considering separate apps just to compete. Microsoft-owned LinkedIn, traditionally a professional networking site, is the latest to experiment with TikTok-style feeds. But with TikTok continuing to evolve, adding features like e-commerce integrations and longer videos, the question remains whether rivals can keep up.

“I’m scrolling every single day. I doom scroll all the time,” said TikTok content creator Alyssa McKay.

But there may a dark side to this growth.

As short-form content consumption soars, experts warn about shrinking attention spans and rising mental-health concerns, particularly among younger users. Researchers like Dr. Yann Poncin, associate professor at the Child Study Center at Yale University, point to disrupted sleep patterns and increased anxiety levels tied to endless scrolling habits.

“Infinite scrolling and short-form video are designed to capture your attention in short bursts,” Dr. Poncin said. “In the past, entertainment was about taking you on a journey through a show or story. Now, it’s about locking you in for just a few seconds, just enough to feed you the next thing the algorithm knows you’ll like.”

Despite sky-high engagement, monetizing short videos remains an uphill battle. Unlike long-form YouTube content, where ads can be inserted throughout, short clips offer limited space for advertisers. Creators, too, are feeling the squeeze.

“It’s never been easier to go viral,” said Enberg. “But it’s never been harder to turn that virality into a sustainable business.”

Last year, TikTok generated an estimated $23.6 billion in ad revenues, according to Oberlo, but even with this growth, many creators still make just a few dollars per million views. YouTube Shorts pays roughly four cents per 1,000 views, which is less than its long-form counterpart. Meanwhile, Instagram has leaned into brand partnerships and emerging tools like “Trial Reels,” which allow creators to experiment with content by initially sharing videos only with non-followers, giving them a low-risk way to test new formats or ideas before deciding whether to share with their full audience. But Meta told CNBC that monetizing Reels remains a work in progress.

While lawmakers scrutinize TikTok’s Chinese ownership and explore potential bans, competitors see a window of opportunity. Meta and YouTube are poised to capture up to 50% of reallocated ad dollars if TikTok faces restrictions in the U.S., according to eMarketer.

Watch the video to understand how TikTok’s rise sparked a short form video race.

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Elon Musk’s xAI Holdings in talks to raise $20 billion, Bloomberg News reports

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Elon Musk's xAI Holdings in talks to raise  billion, Bloomberg News reports

The X logo appears on a phone, and the xAI logo is displayed on a laptop in Krakow, Poland, on April 1, 2025. (Photo by Klaudia Radecka/NurPhoto via Getty Images)

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Elon Musk‘s xAI Holdings is in discussions with investors to raise about $20 billion, Bloomberg News reported Friday, citing people familiar with the matter.

The funding would value the company at over $120 billion, according to the report.

Musk was looking to assign “proper value” to xAI, sources told CNBC’s David Faber earlier this month. The remarks were made during a call with xAI investors, sources familiar with the matter told Faber. The Tesla CEO at that time didn’t explicitly mention any upcoming funding round, but the sources suggested xAI was preparing for a substantial capital raise in the near future.

The funding amount could be more than $20 billion as the exact figure had not been decided, the Bloomberg report added.

Artificial intelligence startup xAI didn’t immediately respond to a CNBC request for comment outside of U.S. business hours.

Faber Report: Elon Musk held call with current xAI investors, sources say

The AI firm last month acquired X in an all-stock deal that valued xAI at $80 billion and the social media platform at $33 billion.

“xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution and talent,” Musk said on X, announcing the deal. “This combination will unlock immense potential by blending xAI’s advanced AI capability and expertise with X’s massive reach.”

Read the full Bloomberg story here.

— CNBC’s Samantha Subin contributed to this report.

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Alphabet jumps 3% as search, advertising units show resilient growth

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Alphabet jumps 3% as search, advertising units show resilient growth

Alphabet CEO Sundar Pichai during the Google I/O developers conference in Mountain View, California, on May 10, 2023.

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Alphabet‘s stock gained 3% Friday after signaling strong growth in its search and advertising businesses amid a competitive artificial intelligence environment and uncertain macro backdrop.

GOOGL‘s pace of GenAI product roll-out is accelerating with multiple encouraging signals,” wrote Morgan Stanley‘s Brian Nowak. “Macro uncertainty still exists but we remain [overweight] given GOOGL’s still strong relative position and improving pace of GenAI enabled product roll-out.”

The search giant posted earnings of $2.81 per share on $90.23 billion in revenues. That topped the $89.12 billion in sales and $2.01 in EPS expected by LSEG analysts. Revenues grew 12% year-over-year and ahead of the 10% anticipated by Wall Street.

Net income rose 46% to $34.54 billion, or $2.81 per share. That’s up from $23.66 billion, or $1.89 per share, in the year-ago period. Alphabet said the figure included $8 billion in unrealized gains on its nonmarketable equity securities connected to its investment in a private company.

Adjusted earnings, excluding that gain, were $2.27 per share, according to LSEG, and topped analyst expectations.

Read more CNBC tech news

Alphabet shares have pulled back about 16% this year as it battles volatility spurred by mounting trade war fears and worries that President Donald Trump‘s tariffs could crush the global economy. That would make it more difficult for Alphabet to potentially acquire infrastructure for data centers powering AI models as it faces off against competitors such as OpenAI and Anthropic to develop largely language models.

During Thursday’s call with investors, Alphabet suggested that it’s too soon to tally the total impact of tariffs. However, Google’s business chief Philipp Schindler said that ending the de minimis trade exemption in May, which created a loophole benefitting many Chinese e-commerce retailers, could create a “slight headwind” for the company’s ads business, specifically in the Asia-Pacific region. The loophole allows shipments under $800 to come into the U.S. duty-free.

Despite this backdrop, Alphabet showed steady growth in its advertising and search business, reporting $66.89 billion in revenues for its advertising unit. That reflected 8.5% growth from the year-ago period. The company reported $8.93 billion in advertising revenue for its YouTube business, shy of an $8.97 billion estimate from StreetAccount.

Alphabet’s “Search and other” unit rose 9.8% to $50.7 billion, up from $46.16 billion last year. The company said that its AI Overviews tool used in its Google search results page has accumulated 1.5 billion monthly users from a billion in October.

Bank of America analyst Justin Post said that Wall Street is underestimating the upside potential and “monetization ramp” from this tool and cloud demand fueled by AI.

“The strong 1Q search performance, along with constructive comments on Gemini [large language model] performance and [AI Overviews] adoption could help alleviate some investor concerns on AI competition,” Post wrote in a note.

WATCH: Gemini delivering well for Google, says Check Capital’s Chris Ballard

Gemini delivering well for Google, says Check Capital's Chris Ballard

CNBC’s Jennifer Elias contributed to this report.

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