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Apple won’t pay OpenAI, Microsoft AI delays – AI News That Matters

Siri updates are on the way, EU makes Meta pause its AI, TikTok's new AI avatars and more!

Outsmart The Future

Sup y’all! 👋 

🚨 Special AI Announcement 🚨

We have a FIRST-EVER event happening tomorrow.

(As far as we know… this has never happened)

My AI clone coming on our show tomorrow to interview me. And I (honestly) don’t know the questions.

Am I nervous?

A bit.

We partnered with Hour One to create an AI Jordan clone and it’s gonna be coming with some spicy questions to see if it can stump me!

Wish me luck, and join us LIVE! 

You don’t want to miss this one!

✌️
Jordan

Today in Everyday AI
7 minute read

🎙 Daily Podcast Episode: Why isn’t Apple paying OpenAI for its partnership? Find out the AI feature that Microsoft is delaying. And see why Amazon Alexa is so far behind in the AI race in this week’s AI news that matters. Give it a listen.

🕵️‍♂️ Fresh Finds: Meta and Amazon execs discuss AI optimism, Google Deepmind to form AI product factory and Perplexity pushes for Japan user base. Read on for Fresh Finds.

🗞 Byte Sized Daily AI News: Siri iOS 18 beta tests are here, Runway releases new video model and TikTok adds AI dubbing tools. For that and more, read on for Byte Sized News.

🚀 AI In 5: We’re explaining how and why you should build a custom GPT inside ChatGPT. See it here

🧠 AI News That Matters: We’re breaking down why Apple isn’t paying OpenAI, the reason Microsoft is pausing this one feature and more for this week’s AI news that matters. Keep reading for that!

↩️ Don’t miss out: Did you miss our last newsletter? We talked about the Pope warning about AI, OpenAI hiring an NSA member, comparing GPT-4o to GPT-4 Turbo and more! Check it here!

AI News That Matters - June 17th, 2024 📰

Took a break from AI news this past week?

Here’s what you missed:

  • Why Apple won't pay OpenAI.

  • Find out the major AI feature Microsoft is delaying.

  • The reason why Alexa's AI is so far behind.

  • How Sora got beat by Luma Dream Machine.

And more in this week's AI News That Matters!

Join the conversation and ask Jordan any questions on AI here.

Also on the pod today:

• Pope Francis Talks AI at G7 🕊
• Future of AI video models 🎥
• OpenAI implications with Apple partnership 🤔

It’ll be worth your 33 minutes:

Listen on our site:

Click to listen

Subscribe and listen on your favorite podcast platform

Listen on:

Upcoming Everyday AI Livestreams

Tuesday, June 18th at 7:30 am CST ⬇️

Here’s our favorite AI finds from across the web:

New AI Tool Spotlight – Olvy speeds up customer feedback analysis, Epipheo is an AI video generator for marketing and Drip is AI-driven journaling.

Big Tech – Meta and Amazon execs are making the case for AI optimism.

Google - Google Deepmind is combining its two AI labs to create an AI product factory.

Trending in AI – Perplexity is using its recent partnership with SoftBank to expand its user base in Japan.

Future of Work - White Castle is using SoundHound’s AI voice system for drive-thru orders.

AI in Society – The UK is using Amazon-powered AI cameras to detect the emotions of train passengers.

OpenAI News — OpenAI shared some new capabilities around Color Health, a copilot application that assists doctors in creating personalized treatment plans for cancer patients.

Read This – A new study shows that global concerns are growing over the use of AI in news production.

1. Siri Levels Up: iOS 18 Beta Testers Get a Taste of Updates 🗣

iOS 18 beta testers are in for a treat with Siri's upcoming upgrades. One of the standout features includes the ability for users to type to Siri, making interactions even more convenient. Additionally, beta testers can now customize Siri's wake word, adding a personal touch to their digital assistant experience.

2. Runway ML Unveils Gen-3 Alpha 🎥

Runway ML has just announced the launch of Gen-3 Alpha. This latest model marks a significant advancement in AI technology, allowing users to generate highly detailed and emotionally expressive video clips with precision.

The Gen-3 Alpha model is a part of Runway's new infrastructure, aiming to simulate a wide range of real-world situations and interactions, setting a new standard in the AI video creation industry.

Here’s our quick take:

3. TikTok's New AI Avatars and Dubbing 👥

TikTok is shaking up the marketing world with its latest Symphony Digital Avatars and AI Dubbing tools, designed to bridge language gaps and enhance global reach. With stock avatars featuring diverse actors and custom avatars resembling specific creators, brands can now add a personalized touch to their content.

The AI Dubbing tool supports over 10 languages and dialects, automatically transcribing and translating videos for a seamless multilingual experience.

4. NVIDIA Unveils Omniverse Cloud Sensor RTX 🌐

NVIDIA's new Omniverse Cloud Sensor RTX is set to transform the way autonomous vehicles and robotic systems are developed by allowing developers to simulate sensor perception accurately in virtual environments.

This cutting-edge technology, powered by NVIDIA RTX ray-tracing and neural-rendering technologies, enables the seamless integration of real-world data with synthetic data for enhanced testing capabilities.

5. Meta Faces Setback in Launching Meta AI Models in Europe 🇪🇺

Meta Platforms' ambitious plan to utilize public data from Facebook and Instagram for training AI models hits a snag as European regulators demand a delay. Concerns over data privacy and consent bring forth challenges for Meta's AI development in the region.

Irish Data Protection Commission leads the charge in requesting the pause, prompting Meta to reevaluate its approach. As privacy advocates push for stricter regulations, the future of Meta's AI ventures in Europe remains uncertain.

6. McDonald's Puts the Brakes on AI Drive-Thru Chatbot 🍟

McDonald's is putting a halt to its AI drive-thru ordering partnership with IBM, intending to wind down the program no later than July 26th, 2024. The company had been testing the voice ordering chatbot system in over 100 restaurants since partnering with IBM in 2021.

While the exact reason for ending the IBM deal remains unclear, speculation suggests a potential shift towards a voice-ordering solution for drive-thrus in the future.

Custom GPTs in ChatGPT Explained!

Wondering what a custom GPT is and how it can revolutionize your workflow?

Whether you're a seasoned tech pro or a curious newbie, this guide is your first step towards optimizing your knowledge work using AI.

We break down the essentials of custom GPTs in ChatGPT and how you can tailor this powerful tool to fit your specific needs.

Did you think the AI news was gonna slow down?

Naaaaaaah, shorties. Notachance.

Last week, we finally capped off ‘Tech Announcement Season’ as Apple’s WWDC announcement capped off an action-packed few weeks with big AI reveals from Microsoft, Google and OpenAI.

Yeah, things didn’t slow down at all on the AI front.

  • Amidst all the busyness, Apple may have gotten the steal of the decade in OpenAI. (Like whooooooooa.)

  • Microsoft’s misstep could cost them big time.

  • There’s a new AI video maker grabbing headlines, and it beat OpenAI’s Sora in at least one category.

  • It’s gettin so wild out here that even the Pope had to blow the whistle on AI.

(Y’all remember Puffy Coat Pope? One of our favorites.)

Alright, the week was a whirlwind. Here’s what went down, what it means, and how you can keep up.

Let’s get it.

1 – Apple Not Paying OpenAI for GPT-4o Integration 😳

Steal of the decade?

According to reports, Apple’s cozying up to OpenAI without spending a dime. That’s right, no cash involved. Like OpenAI’s an unpaid intern at Cupertino.

Last week, Apple made things official with OpenAI in its ‘Apple Intelligence’ unveiling at its Worldwide Developers Conference. In short, Apple is tapping into OpenAI’s GPT-4o to power various parts of its operating systems.

Buuuuuuttttt….. not paying them for it. WTF?

Instead, they’re ‘trading exposure’ for OpenAI’s ChatGPT on Apple devices.

Apple’s got big plans — integrating ChatGPT with Siri and Apple Shortcuts, making your iPhone and iPad even smarter.

OpenAI’s may end up losing money on the deal initially, having to foot the bill with undoubtedly crazy demand on Microsoft’s servers and their own subscription plans.

What It Means: 

Let’s be honest here — Apple fleeced OpenAI.

Apple was in a tight spot without this integration. As we reported on for months, Apple kept flip flopping between potential AI partners. They reportedly talked with Google, Anthropic and OpenAI.

That meant = they didn’t have the tech.

And if we’re being honest, Google’s Gemini and Anthropic’s Claude are legit lightyears behind OpenAI’s GPT-4o.

In theory, OpenAI coulda/shoulda had Apple in a tight grip. Apple literally didn’t have any other choice but to partner with OpenAI. (We legit said this months ago. Didn’t the whole world know this?)

Sure, OpenAI’s gonna get a lot of ‘exposure.’ And it seems like Apple will later be unveiling more advanced features in its ‘Apple Intelligence’ that may require a paid ChatGPT subscription.

So OpenAI will likely be cashing checks from a huge audience that they didn’t have before.

We get there’s value there.

But the fact that OpenAI didn’t net tens of billions on this one baffles our mind. Apple’s other choices would have been to partner with Google/Anthropic, which woulda tanked their stock, or punted on AI again, which woulda tanked their stock.

Seems like a huge W for Apple, TBH.

2 – Microsoft Delays Recall Feature on New Laptops

Microsoft’s new Copilot Plus PCs were supposed to ship this week with Recall, a feature giving Copilot a photographic memory of your virtual activities.

But what’s that screeching sound?

Privacy and cybersecurity concerns have hit the brakes on the highly controversial feature.

(Had to sneak in a dad joke being the day after father’s day y’all. Lolz)

Recall’s getting a trial run with Windows Insider program users first. And once it does release, the feature will be opt-in, so users have to give the thumbs up to enable it.

What It Means:

Apparently, Microsoft didn’t give Recall the full beta treatment. They should have publicly tested Recall before promising it.

This could be their first big AI blunder after swinging on AI early and often, and seemingly hitting a home run each time.

We see the blip being short-lived, as Microsoft is in the driver’s seat for all things AI.

(Oh, guess who wins in that Apple-OpenAI partnership? Microsoft — which reportedly has a 49% ownership stake in OpenAI.)

3 – Luma’s Dream Machine Beats Sora to the Punch 🎥

Luma AI just dropped Dream Machine, and it’s getting pretty rave reviews.

This text-to-video model cranks out high-res videos with lifelike motion and flexible aspect ratios. It’s rivaling big names like Sora and Kling, and users are Mcloving it.

Future updates could bring real-time video editing and more creative tools to the mix.

What It Means:

Dream Machine beat Sora in this one metric — time to market.

We gave Luma’s Dream Machine a quick overview, and showed you how to use it for free in this video.

And while OpenAI hasn’t released Sora and we don’t have access to Kling, we feel safe-ish with our early rankings for AI videos:

1A. Sora

1B. Kling

2A. Dream Machine

2B. Runway Gen-3 (just announced) 

3. Pika Labs

4 – Amazon Alexa Struggles with Generative AI Makeover 😬

According to a Fortune report, Alexa’s having a tough time keeping up with the generative AI makeover.

Despite being a leading voice assistant, internal chaos and tech hurdles are apparently slowing progress.

The new AI-powered Alexa that Amazon’s been teasing isn’t widely released yet, raising concerns about readiness.

Or, maybe it still stinks and can’t answer simple questions? Lolz

What It Means:

Let’s call this one out — Amazon dropped the ball big time. They were the first to market with a smart assistant.

They WERE the market.

But now they might finish last in the AI-powered-and-actually-smart Assistant category.

This is a huge L for Amazon.

If you’re an Alexa user, you might want to start looking at alternatives. Maybe the Siri+GPT-4o will work for most. Or, we could see Google’s updates here stick.

For Amazon, though, it’s critical to fix these issues fast or risk losing significant market share.

5 – Pope Francis Warns of AI Dangers at G7 Summit 🌎

Pope Francis is joining the AI conversation, and he’s not mincing words. 

Addressing G7 leaders in Italy, he emphasized keeping human dignity at the forefront of AI development. 

He warned against AI turning human relations into algorithms and stressed the need for human decision-making over machine autonomy. 

The G7 leaders echoed his concerns, committing to a human-centered approach in their final statement.

What It Means:

The Pope’s call is a stark reminder of the ethical implications of AI. 

Also, who are we fooling here, G7 nations? 

The world is unlikely to agree on anything AI.

That’s because it’s too powerful and crucial for economies. So while the Pope’s calls here are noble and all, they won’t mean squat shorties. 

Also, the U.S. is so far ahead of the other nations. (Canada, France, Germany, Italy, Japan and the U.K.) 

And some of the European nations have the strictest regulations on AI. 

So while the ‘ethical AI’ schtuff is nice and all, it’s pretty meaningless platitudes because the U.S. is gonna keep steamrolling ahead with little regulation as China starts turning up the artificially intelligent heat. 

Numbers to watch

52%

According to a recent report, 52% of Americans have concerns about newsrooms powered by AI.

Now This …

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