Leaked documents show that OpenAI has a very clear definition of ‘AGI’

OpenAI and Microsoft have a secret definition of “AGI,” an acronym for artificial general intelligence, or any system that can outperform humans at most tasks. According to leaked documents obtained by The informationthe two companies agreed in 2023 that AGI will be achieved when OpenAI has developed an AI system that can generate at least $100 billion in profits.

There has long been a debate in the AI ​​community about what AGI actually means, or whether computers will ever be good enough to outcompete humans at most tasks and wipe out large parts of the economy.

The term “artificial intelligence” itself is something of a misnomer because much of it is really just a prediction machine that takes in keywords and searches large amounts of data without really understanding the underlying concepts. But OpenAI has received more than $13 billion in funding from Microsoft over the years, and that money has come with a strange contractual agreement that OpenAI would stop allowing Microsoft to use any new technology it develops after AGI is acquired .

OpenAI was founded as a nonprofit under the guise that its technology would benefit humanity. The idea behind cutting off Microsoft once AGI is achieved is that AGI would harm humanity in the hands of a for-profit company. In return for investing billions in a nonprofit, Microsoft’s current deal with OpenAI guarantees it a share of profits until it reaches a predetermined cap somewhere in the tens of billions; The cap is meant to ensure that most profits go back into building products that supposedly benefit humanity.

As has been well documented at this point, OpenAI is no longer interested in this non-profit model because the structure makes it difficult to raise more money and compete against other AI players. Since October has The information says Microsoft and OpenAI have negotiated changes to their arrangement, which also includes the tech giant serving as OpenAI’s exclusive cloud hosting provider.

Microsoft and OpenAI have been on diverging paths for some time now. It was recently reported that the latter has started incorporating AI models developed in-house into its 365 Copilot product to improve costs and efficiency. It doesn’t make sense for Microsoft to continue to rely on OpenAI, an independent company, for technology it believes will be the backbone of its productivity software going forward. Microsoft needs proprietary technology.

OpenAI, for its part, is a long way from achieving $100 billion in profits on technology whose true value remains speculative, which means it will likely continue to provide its technology to Microsoft for a long time – not great when it sees looks like they are on their way. towards being competitors. And handing over large amounts of its revenue makes it less attractive to new investors, which it needs continues to burn cash. Getting rid of the cloud hosting agreement may also allow OpenAI to negotiate better hosting costs with an alternative provider.