🧠 AI’s $100bn question: The scaling ceiling

As the LLM market structure stabilizes, the next frontier is now emerging. The focus is shifting to the development and scaling of the reasoning layer, where “System 2” thinking takes precedence. Inspired by models like AlphaGo, this layer aims to endow AI systems with deliberate reasoning, problem-solving and cognitive operations at inference time... See more

“There was a long period of time where the right thing for [Isaac] Newton to do was to read more math textbooks, and talk to professors and practice problems ... that’s what our current models do,” said Altman, using an example a colleague had previously used.

But he added that Newton was never going to invent calculus by simply reading about geomet... See more

With all the challenges in ethics and computation, and the knowledge needed from fields like linguistics, psychology, anthropology, and neuroscience, and not just mathematics and computer science, it will take a village to raise to an AI.

Why wouldn't everyone adopt AGI for everything once it's available? Simple: economics. Absent a more efficient breakthrough architecture, AGI will be inherently more power-hungry and expensive than specialized models with a narrower focus. And that expense goes beyond just electricity costs for inference, the process by which an AI model applies it... See more