If the adoption of AI feels completely different from any tech revolution you will have skilled earlier than — cellular, social, cloud computing — it truly is.
Venture capitalist Mary Meeker simply dropped a 340-page slideshow report — which used the phrase “unprecedented” on 51 of these pages — to explain the velocity at which AI is being developed, adopted, spent on, and used, backed up with chart after chart.
“The tempo and scope of change associated to the substitute intelligence expertise evolution is certainly unprecedented, as supported by the information,” she writes within the report, known as “Trends — Artificial Intelligence.”
There’s a sure poetic historical past to this particular person writing this type of report. Meeker is the founder and basic accomplice at VC agency Bond and was as soon as often known as Queen of the Internet for her earlier annual Internet Trends experiences. Before founding Bond, she ran Kleiner Perkins’ development observe, from 2010-2019, the place she backed corporations like Facebook, Spotify, Ring, and Block (then Square).
She hasn’t launched a tendencies report since 2019. But she dusted off her expertise to doc, in laser element, how AI adoption has outpaced another tech in human historical past.
ChatGPT reaching 800 million customers in 17 months: unprecedented. The variety of corporations and the speed at which so many others are hitting excessive annual recurring income charges: additionally unprecedented.
The velocity at which prices of utilization are dropping: unprecedented. While the prices of coaching a mannequin (additionally unprecedented) is as much as $1 billion, inference prices — for instance, these paying to make use of the tech — has already dropped 99% over two years, when calculating value per 1 million tokens, she writes, citing analysis from Stanford.
The tempo at which rivals are matching one another’s options, at a fraction of the associated fee, together with open supply choices, significantly Chinese fashions: unprecedented. For instance, she factors out that Nvidia’s 2024 Blackwell GPU makes use of 105,000x much less power per token than the corporate’s 2014 Kepler GPU predecessor.
Meanwhile, chips from Google, like its TPU (tensor processing unit), and Amazon’s Trainium, are being developed at scale for his or her clouds — that’s transferring shortly, too. “These aren’t aspect initiatives — they’re foundational bets,” she writes.
The one space the place AI hasn’t outpaced each different tech revolution is in monetary returns. While VCs are pouring cash on the AI hearth as quick as they will, AI corporations and cloud service suppliers are additionally burning via money. AI requires huge investments in infrastructure.
That’s good for customers and enterprises, the beneficiaries of quick enhancements, whereas competitors lowers prices, Meeker factors out. But the jury continues to be out over which of the present crop of corporations will turn out to be long-term, worthwhile, next-generation tech giants. “Only time will inform which aspect of the money-making equation the present AI aspirants will land,” she writes.
As for the remainder of us: Just maintain on to your hats.
