Leaked documents show that OpenAI has a very clear definition of “AGI”

OpenAI and Microsoft have a secret definition for “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 came to agree in 2023 that the AGI will be achieved once 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 really means, or whether computers will ever be good enough to outperform humans at most tasks and take over large swathes of the economy.

The term “artificial intelligence” itself is something of a misnomer because a lot of it is really just a prediction machine, picking up keywords and searching 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 came with a strange contractual agreement that OpenAI would stop allowing Microsoft to use any new technology it develops after AGI is achieved.

OpenAI was founded as a non-profit under the premise that it would use its influence, and any AGI that is developed, to create products that benefit all of humanity. The idea behind Microsoft’s cut once AGI is achieved is that unrestricted access to OpenAI intellectual property could unduly concentrate power in the tech giant. To incentivize him to invest billions in the non-profit then, Microsoft’s current agreement with OpenAI entitles him and other investors to take a slice of profits until they raise $100 billion; the cap is intended to ensure that most of the profit eventually goes back to building products that benefit all of humanity, supposedly. This is all pie-in-the-sky talk since, again, AI is not that powerful at this point.

OpenAI’s non-profit structure has long been considered a sham, and it’s no surprise that the company announced this year plans to pivot to a for-profit structure (while maintaining its mission to benefit all of humanity, in some way), because the current non-profit structure makes it difficult to raise more money and compete against other AI players. Consequently, The information says that Microsoft and OpenAI have negotiated a number of changes to their arrangement that will go into place in the event of a restructuring of the company. Microsoft also currently serves as OpenAI’s exclusive cloud hosting provider, and OpenAI may want to end that, such as stopping profit sharing and moving to giving only direct equity to Microsoft.

Microsoft and OpenAI have been on divergent paths for some time. It was recently reported that the latter has begun incorporating in-house developed AI models in its 365 Copilot product to improve cost and efficiency. It doesn’t make sense for Microsoft to continue relying on OpenAI, an independent company that develops similar productivity tools, for the technology it believes will be the backbone of its productivity software going forward. Especially with all the chaos and drama which surrounded OpenAI. Microsoft needs its own proprietary technology to chart its own path.

OpenAI is far from making $100 billion in profit on technology whose true value remains speculative, which means it will likely have to continue handing over its technology and profits to Microsoft for a long time – not as big as they’re heading. to become competitors and OpenAI seeks. new investors, who will need as continues to burn billions in cash. Getting rid of the cloud hosting link could also allow OpenAI to negotiate better hosting costs with an alternative provider, something Google has. told the FTC in a letter begging to cancel the agreement.