AI’s Economic Impact, Warren Buffett Discovers YouTube, Mistral Launches “Le Chonk” | Diet TBPN

0:01Speaker 1:I was leafing through GQ this morning. Tom Cruise is on the cover. It's an... It's a it's a good addition. There's a funny, anecdote in here that I wanted to share. I need... I gotta find it. But they got the whole Tom Cruise spread, lots of photos. But they did a little back and forth interview with him, and he's a course bro. He dropped a course, a private course, and we gotta get access to this. The question from the GQ interviewer, You have mentored a lot of younger actors. Glenn Powell has talked about watching a six hour instructional video about screen acting that you made. Right? And Tom Cruise says it was very basic. It was just something to have people understand, just to have a different concept of lenses and what the lens is and what the frame is just the same way as an actor

0:51Speaker 2:on superstar for dummies.

0:53Speaker 1:Yeah. Basically, he made a he made a six hour. That's a course. He made a six hour video. Just the same way as an actor on stage or in the development of cinema where it started and what the... That frame means and how it Great success.

1:06Speaker 2:How to understand that

1:07Speaker 1:frame. Woo.

1:08Speaker 2:Thank you, team.

1:09Speaker 1:There's just different layers of storytelling of structure, structure, but also to understand TBP. Certain things so that you can forget about it. What else do you tell younger people, other people in your business? I listen first. What do they want? It's not me. I'm more interested in what are their goals? What do they want. And it's not just younger people. This is me when I was a kid. I'm going, what are you interested in? They say, really? They said, yes. What is this movie about? What is this?

1:38There's a bunch of other fun things in here. But I thought it was funny that there's a secret six hour training video on how to be an actor from Tom Cruise. We gotta get access to it. I feel like, there's a lot of journalists that they get documents. They scoop things. They release things. But I've never seen anyone just be like, I'm putting down 10 racks for whoever can bring me the six hour Tom Cruise video. Yeah. I'm putting it behind a paywall. I'm gonna monetize it, but there's a bounty out.

2:04Like, Kevin Roos has the Dario Amade big blob of compute thesis from 2017, like this leaked PDF sort of on the scaling law and the bitter lesson, basically. And I've never seen a journalist just be like, I know this document's out there. Like, Eric Newcomer should just be like, bring me Founders Fund returns. I'll I'll give you $5 if you got them, you know? Because it probably math sounds something.

2:29Speaker 2:Maybe 5,000,000.

2:30Speaker 1:Maybe more. Maybe more. Yeah.

2:32Speaker 2:To risk to risk your allocation in the next...

2:35Speaker 1:Yeah. I I suppose that that would violate journalistic ethics to just put a bounty out for a document that you know exists.

2:41Speaker 2:I will bribe you

2:42Speaker 1:Yeah.

2:42Speaker 2:For the truth.

2:43Speaker 1:And it probably really... Like, I was thinking about the the the the various leaks that go out. Like, some of them violate NDAs, but if they're if they're secretive enough and they're squirreled away via signal, like, they probably don't trace back. They probably don't really trigger anything. Also, some of them just don't really matter. They will... You know, for a company is... Might not be that frustrated about a particular leak if it makes the company look good. But...

3:08Speaker 2:Well, speaking speaking of movies, the team saw a movie yesterday. Ben, could we get a review? Oh, you didn't go? Ben didn't Wow. Come. Yeah. Wow. Tyler, review. I saw it.

3:17Speaker 1:Who saw it?

3:17Speaker 3:So we saw bigger.

3:18Speaker 2:Nick said that he was starting to look at his phone after, like, forty minutes.

3:22Speaker 1:Wait. What?

3:22Speaker 3:Nick did not enjoy it. I thought it was pretty good. And so so, basically, the reviews are really bad. Right? Yeah. And famously... Well, not famously, but, like, the box office is really bad.

3:30Speaker 1:Not all the reviews are bad. I saw Marc Andreessen give it a positive review.

3:33Speaker 3:He did. Yeah. And that was really one of the only, like, very positive reviews that's about. But, yeah, I think the budget was, like, 160,000,000. First weekend, it was Cracking totally

3:40Speaker 1:8,000,000. Yeah.

3:41Speaker 3:Pretty brutal. I thought it was it was good. It was very cool. Like, the like, the framing of the movie. I... It's it's it's hard to, like, feel too much......

3:52Speaker 1:You. I thought it was very cool.... School? Like, this this critique is so nuanced. It's remarkable.

3:58Speaker 2:I thought it was...

3:58Speaker 3:I don't wanna spoil

3:59Speaker 1:anything. I don't wanna spoil anything. What was cool about it?

4:03Speaker 2:Just give us, like, thirty seconds of of spoilers. I'll bleep it out. Okay. So basically...

4:09Speaker 1:The bleep organ. The game decompilation thing is is going strong. Ben Thompson was writing about it in Stratikori today. There were some more knock on effects. He took it in a very interesting, like, legal direction about the the implications of taking a video game, decompiling it, doing whatever you want with it. Obviously, IP licensors don't like that, but there's not a lot that you can that you can do to control that. And, obviously, open source models are coming. And there's a bunch of interesting knock on effects. I saw a really funny one. They're getting funnier, these mashups.

4:39I saw one where someone was playing NHL hockey in Resident Evil. Did you see this one? It was really it was really such a good mashup because the guy is just, like, on ice skates and, like, flicking pucks and zombies. It was it was pretty good. I was I was into it. Again, probably not really something I wanna play for five hours, but will I watch the thirty second video of it? Absolutely. But, yeah, Polygon has been breaking this down. If you've been on X over the last few days, you probably noticed that things have gotten very weird when it comes to modded video games. There are clips of Call of Duty operators doing kick flips and other tricks from Skate, people playing Black Ops one zombie mode in Skyrim, Miles Morales swinging through Gotham.

5:20Here's another add to the list. Someone has gotten the Xbox version of Halo Combat Evolved running in a web browser with multiplayer and split screen support. And the other funny thing is that it's not... They didn't... Like, apparently, the Halo community doesn't like the PC release of Halo, so they ported the Xbox version to the cloud browser. It's like, you you can really do anything you want now. And so Ben Thompson goes on to describe a little bit of what's going on. Games are written in human readable languages, c c plus plus. Obviously, there's scripting languages on top of that, but then they're compiled into machine code that's executable by the processor that they're intended for. For Halo, that's x86.

5:58You've always been able to disassemble machine code into assembly because assembly maps almost perfectly to machine code. The difficult part, which takes humans years, is decompiling assembly to C or some human readable language that then you can actually modify. But LLMs are really good at that. And so is it legal? Is it legal? The story conflates two different AI capabilities. The Fallout project appears to be a new game. There's no New York, although using the name fallout is likely a trademark violation. I think we were joking about, the lawyers being really excited seeing all these going out because it means full employment. Decompiling is not in and of itself illegal.

6:36Saga, Sega versus accolade held that disassembling code is fair use if it is the only way to reach unprotected functional elements and there was a legitimate purpose, and Sony versus Kinectics extended the same reasoning to reverse engineering the PlayStation's BIOS. However, that is likely where protections end. Code that is derived from decompiling is, by definition, very similar, if not identical, to the original code, which is covered by copyright. So even if you go and decompile a game and then you ship something that's like a mod, you're gonna get a DMCA notice, and this is already happening. Like, something will go up, it'll get...

7:14It'll go viral, and then they'll get hit with a takedown notice. This already happened.

7:17Speaker 2:Two hours later. Is

7:20Speaker 1:that me, or is that?

7:22Speaker 2:Getting hit with a copyright.

7:23Speaker 1:Two hours later, you'll get hit by, yeah, copyright. So you have to take it down. There's there's a couple interesting things. So the actual value of these, like, decompiled games, mashups, pretty limited because you basically just get a viral video. And you can't really monetize it because you get a takedown notice. But the the the the training rollout for the AI labs, like, training data that comes from, like, having this fleet of, like, all these different game modders go and spend a bunch of tokens that they're basically paying for. Maybe it's a little subsidized, but, like, they're basically paying for all this decompilation. And then also, the labs probably have RL environments for this type of work, and then there's tools for this as well, means that I would expect, like, the next version of models that is trained on all the inference that's happening right now because everyone right now in the game modding community is like, let me go point GBT, Astra, and Opus five five at whatever game binaries I can get. So it's like, oh, I I like Skyrim. I like Minecraft.

8:24Let's go decompile those. But then they're also doing it with all the long tail. So all of that's going into the next set of training data. So you would imagine that the models get much better at video game development, which is which is cool. He also just talks about, like, how things will change over time similar to similar to what's happened in video. AI seems to exacerbate a lot of trends, including the shift to service based games. So he talks about, like, in a world where if you send someone a disk or you send someone a executable binary, like, they're just gonna decompile it and be able to do whatever they want with Maybe you wanna stream that game. So you, this was, Google had an effort for this. I forget what that was called. But Google had the ability to basically stream you a ten eighty p.

9:10Stadia. Stadia. That's right. So you... They would stream you the video output, and you would stream them the controller input. And the game would run on the server, so you never saw any code. You just saw video coming

9:22Speaker 2:back.

9:22Speaker 3:This is also how the Meta Quest Xbox edition worked. You you were streaming the game in.

9:27Speaker 1:That's right. That's right. And and I think I think Xbox has has stayed with the cloud gaming a little bit longer, but gamers have always sort of pushed back on that. I don't like the latency. What if my Wi Fi goes out? I'm just trying to play in a single player game, blah blah blah. And so it's possible that this is something where the game industry comes together, and they're like, we really gotta fight these hackers. We gotta hide our code more behind more of a firewall, like that cloud streaming firewall. Or it could be something that they just, like, embrace and go the the IP protection route. Yeah.

9:58I... It's hard to to think that this doesn't go the way of generated text where, like, people still care about the the the posts and where they come from effectively, intellectual property, the instantiation of the actual product is less relevant than the story around it and the and the people behind it and the and the shelling point of, like, we're playing the same game. Of course, people will do their individual stuff as well. But anyway...

10:24Speaker 2:What else we have going on, John?

10:26Speaker 1:Well,

10:27Speaker 2:I'm so glad to be past that subject.

10:31Speaker 1:Because you just don't like video games?

10:33Speaker 2:I had enough. I had enough.

10:35Speaker 1:You had enough?

10:36Speaker 2:Had enough. About racing season?

10:38Speaker 1:Not

10:38Speaker 3:a...... A video game.

10:39Speaker 2:That's the final frontier.

10:40Speaker 1:Yeah. You're gonna be

10:41Speaker 2:able to

10:41Speaker 1:race anywhere you want.

10:42Speaker 2:Mustafa says, coming in with a major white pill, AI won't take your job anytime soon. In ten years, only 5% of what humans do will be replaced by AI. Let's see what he has to say about that.

10:55Speaker 1:They're doing new media over at MAI. The Humanist Review of AI. They made a magazine, and they have a number of articles. And they tapped MIT economist and Nobel laureate, Nobel Prize winner in economics, Darren Isomoglu, to write a piece about how AI will diffuse. And it's interesting because in this one, it's total white pill, but then he was on sixty minutes and he's and he's a little bit more black pilled. So we'll have to go back and forth. Think it's the

11:26Speaker 2:same Wait. That's the same guy?

11:28Speaker 1:Yeah. We'll have to reconcile this. Okay? So let's see what Darren Ace... Asimoglu says in the Humanist review. It's a longer piece, but Mustafa Suleiman summarized it here. He said he argues that we need to stop building AI to replace people and start building it to make them better at their jobs. 52% of Americans are worried about AI's impact on their jobs. The fear is overblown, and it's steering how we build AI. I like the 48% of just confident people.

11:59Like, good luck. Good luck. Like see you.

12:02Speaker 2:I'd like to see it track.

12:04Speaker 1:I'm not in the training data. I'm not... There's no RO environment for what I do. AI isn't in the productivity statistics yet. This was the famous line about the Internet. It shows up everywhere except the productivity statistics. Most firms using AI aren't seeing real gains yet. Expect roughly 1.5 added to GDP over ten years, not a revolution. Electricity took decades to spread. There's so many...

12:29Speaker 2:Problem the problem is like... So so the problem is like going back to our conversation with Sean Frank yesterday at This is a company that's over ten years old right now, growing 50% this year Yeah. Using AI across the entire business from demand planning to creative to a number of other things. And the business is performing pretty much as well as it ever has. The thing is you... AI is impacting the whole business in different ways, in big ways and small ways. But you can't give AI credit for the growth because there's so many factors contributing, right? New products, push into retail, all these different things. And I think you can still say that maybe most firms aren't using it to see real gains. But when you say that electricity took decades to spread, I just don't view AI as...

13:21It's not the kind of technology that takes a long time to spread when it works.

13:25Speaker 1:I agree. And

13:27Speaker 2:that's because we can use the Internet, which pretty much everybody that's productive has access to to spread AI. Yeah. So, already, just a few bullet points in and and...

13:40Speaker 1:But the Nobel Prize winning economist has another example to push back on you with. He says, if you don't like the electricity example, here's another one. Speech recognition. He said, turning speech into text has been an aspiration since the nineteen thirties. And this is a harder one to grapple with than than electricity because a lot of what was in place for AI is also in place... What what... A lot of the things that you're saying about why diffusion should be faster for AI was true for for speech recognition. So people have been trying to do speech recognition. You talk the computer types since the nineteen thirties, going on a hundred years of pursuing this. It became a huge step closer to reality, thanks to the work by American...

14:24By by the American husband and wife team, James and Janet Baker, starting in the nineteen eighties when they founded the iconic company Dragon Systems. Dragon truly revolutionized voice recognition, and it would not be an exaggeration to say that everything else that has followed in voice recognition since then is thanks to the Bakers. Their breakthroughs their breakthrough was to eschew previous attempts to build speech recognition systems based on syntax and meaning, and instead deploy machine learning techniques in order to build a pure prediction system, which would map speech onto the best match text. Already in 1997, the year Dragon launched Dragon NaturallySpeaking, the first program that was capable of voice recognition from natural, continuous speech. The momentousness of this was obvious.

15:15So, in previous software, including the previous product from Dragon, Dragon Dictate, you had to pause in between each word to let it process the gap between words. You no longer needed to do that with Dragon NaturallySpeaking. This was 1997. I can vouch for all of this because Darren Ismoglu, the writer, after developing repetitive strain injury in both arms in 'ninety seven, he was an early user. Even with the very slow processors of the time, Dragon, naturally speaking, was like magic.

15:46It would score close to 95% accuracy. I didn't know at the time that I would be a user of their products for the next thirty years, but what I immediately knew was that the processing power of computers improved, I could have access to much more powerful voice recognition software, enabling me to carry out my work despite a continued inability to type. By 2000, everything was going as I and others had predicted. The software had gotten better. And with better computer chips, accuracy and functionality were improving at a fast pace.

16:16What nobody could predict was then the next two decades, despite advances in the underlying technology, consumers would see little of the gains, thanks to a series of corporate disasters. Dragon was acquired in 2000 by a Belgian company, Learnout and Houseby, that went bankrupt within months of the purchase, with its cofounders later being found guilty of corporate fraud. You hate to see that.

16:38Speaker 2:Naughty. Naughty.

16:40Speaker 1:So Dragon was then purchased by ScanSoft, rebranded as Nuance. I actually worked for a start up in college that got acquired by Nuance. Very, very talented team over there, which progressively deprioritized the consumer in favor of medical and enterprise markets. If you walk into a hospital today, you will see a lot of a lot of doctors and nurses dictating notes even before the Whisper revolution that just recently happened. Microsoft acquired Nuance in 2022 and continued the same model.

17:09The result, voice recognition software on PCs today is only marginally better than what was available in 2000, far less progress than the underlying technology would have led me to expect. This disappointing history lesson is one of the reasons why even greater curation is warranted when making predictions about the fast diffusion of AI models today. Breakthroughs in the infrastructure of a new technology need to go hand in hand with the right kinds of applications built on this infrastructure. And then, of course, you need the right marketing structure to reach potential customer base, as well as inputs from consumers to act as the impetus for modifications and improvements of the applications. This is what we are not seeing for AI.

17:44This is what was completely bungled for voice recognition. What do you think?

17:52Speaker 2:Whole lot of mumbo jumbo, John.

17:53Speaker 1:Okay. Let's move over to sixty minutes because Darren A. Simogulu takes the other side of his own argument arguing against himself with Brendan Foti from Macquarie.

18:02Speaker 4:Job category on LinkedIn. And just as machinists once replaced artisans, Brendan Foody insists he's creating a career of the future. Out of work? Fear not. Come train AI.

18:13Speaker 5:Literally, all of the top 20 economists in America, they would say the exact same thing, which is that there's gonna be more jobs in ten years than there are today.

18:23Speaker 4:You're a top economist in America. What say you?

18:25Speaker 1:No. Don't have of the greatest edits ever.

18:30Speaker 3:We are living through with AI is unprecedented. The first phase of the industrial revolution...

18:36Speaker 2:You're positive this the same guy. Yes. In this article that

18:39Speaker 1:we've agreed.

18:39Speaker 3:Wait. I I I don't think these are... Like, these two things are incompatible.

18:43Speaker 1:Break it down for us.

18:44Speaker 3:So the article...

18:45Speaker 2:Yeah. Because he is saying 5%. 5% of the things humans do are at risk.

18:49Speaker 3:No. He's saying that right now, if we keep building AI the same way, it will replace workers, but we need to build it a different way that, like, empowers workers. That's what the art... The... Like, the headline of the articles, will AI replace workers? Not if we build it Okay. I'm saying, like, right now, on the course that we're doing right now, it's gonna replace workers.

19:05Speaker 1:Got it.

19:05Speaker 3:So we need to shift courses.

19:06Speaker 1:Okay.

19:07Speaker 3:Right? I... That's what I...

19:09Speaker 1:And and and his argument from an economic perspective is, that will actually increase productivity. That will be better, not just because higher employment is good, but also higher economic growth is good. So we should be trying to solve problems that cannot be solved by people right now with AI as opposed to just...

19:26Speaker 3:Just displacing... Yeah. Just moving stuff around versus doing net new thing.

19:30Speaker 1:Okay. I like that.

19:30Speaker 3:I believe that's what

19:31Speaker 1:he's saying. You're a top economist. What do you say?

19:34Speaker 2:No. One of the greatest. And here's the thing. Yeah. Top economists have never been wrong on anything. So, you know.

19:43Speaker 1:It does feel like it's a critical moment. There's been so many people building up to, like, 2027 is gonna be the crazy year. 2026 is gonna be the last normal year. Like like, something has to happen in 2027 to... That will answer a lot of the questions that have been being asked over the last five years, you know, since GPT three, basically, which is like RSI, superintelligence, serious serious move on GDP, serious, like, showing up in the statistics somewhere other than just debt.

20:12But, I mean, at the same time, you see, like, weird things happening in in financial markets, like gold is spiking and, like, it's hard to put that on AI, but there's still, like like, there's there there's pockets of, like, okay. There's something odd happening that you might, in retrospect, attribute to the AI boom. Anyway, what do think of Jeremy's take? What agriculture did to our bodies, AI will do to our brains, make us stronger and taller. I think he's being negative.

20:40Speaker 2:I think he's being negative. Didn't it in some way make us, like, you know, weaker because we're, you know, consuming more grains versus, you know?

20:48Speaker 1:Yeah. I mean, some agriculture made us a lot taller and stronger, but then

20:53Speaker 2:Yeah.

20:53Speaker 1:There fatter for sure.

20:55Speaker 2:Yeah.

20:55Speaker 1:Because we over consume. And so, yeah, if you're over consuming information, you... It's brain rot. Yeah. But a good good encapsulation of the of the thesis. Anyway, where do you wanna go next, Jordy?

21:06Speaker 2:We gotta we we gotta talk about Warren Buffett Warren Buffett. Because he's just like you.

21:11Speaker 1:He's

21:11Speaker 2:just like you, folks. A viewer's guide to Warren Buffett's nightly trips down the YouTube rabbit hole. Glenn Close clips nineteen fifties commercials, Uzbekistan's version of America's Got Talent. The legendary investor can't resist the algorithm either. Feeling guilty about spending hours each day watching YouTube? Don't be. Warren Buffett is right there with you. Glenn Close clips, commercials from the 1950s. Paul Anka Videos, the famed investor can't get enough. Buffett enjoys speeches by complete unknowns.

21:42He's a fan of Berkshire Hathaway's own content too, proud of how it performs on the video platform. He watches it all nearly every evening, usually from a recliner in his Omaha home. Warren's range is broad, says Sharon Osberg, a close friend and frequent viewing companion. It can be the silliest things. Buffett also goes down random rabbit holes just like us. The next day he will come into his office gushing over a moving amateur rendition of My Way. In August, Osberg visited Buffett's home in Omaha. They spent hours on YouTube grinding. He... We watched a really good documentary on Roy Cohn, she says, and the Uzbekistan version of America's Got Talent.

22:22That would be Ozbekistan Got Talent. It's easy to remember. Buffett, who recently turned 96 and stepped down as Berkshire's chairman, declined to comment on his YouTube habits. What's up with Sharon just blowing up blowing up his whole routine? If I invite a friend to my home You're an

22:42Speaker 1:algo doc, son.

22:43Speaker 2:I invite a friend to my home to watch YouTube videos with me for hours and hours and hours and go down the YouTube rabbit hole, and then a week later, you're calling up the journal, spilling spilling the truth about my my my video consum... My rabbit hole habits. Yeah. I feel like I feel like Buffett had to be like, I want you to tell the journal.

23:05Speaker 1:You think it's astroturf?

23:06Speaker 3:Yeah.

23:06Speaker 2:I think I think I want you to take this.

23:08Speaker 1:You think he's paying

23:09Speaker 2:for whatever reason as need to... Think locked in as ever. I don't think he's doing anything for entertainment. He wants the other allocators to get comfortable. You know, I can spend a few hours on YouTube every night. Like... Meanwhile Great. Oh. He's studying the blade every single night.

23:25Speaker 1:Yeah. And all

23:25Speaker 3:of this

23:26Speaker 1:just benefit of four d chess.

23:27Speaker 2:Yes. Occam's 40 razor.

23:29Speaker 1:Yeah. That is Occam's 40 razor. Yeah. This is what he's doing. Makes sense. What do you think of the new passport? People were going back and forth on it. Paul MacGregor was saying, if I was redesigning the cover of what is arguably the country's most important public document, I'd first hire both the best typographer and Crest Designer Money Can Buy, then fiddle about with the layouts probably. And Joe Gebia fires back high when you're done finding... When you're done fiddling, please send me resume of top crest designer.

23:55Make sure they can do better than the 1782 official national anthem. It looks like a very emblem. National emblem. Yeah. The redesign looks like a very tasteful and moderate iteration. Like, I think people are reacting to this. Like, it's like, now it's all gold, and it has, like, a bear and an eagle fighting on it. And it it it features, the UFC Octagon, which like, was sort of where people's expectations are for these types of things. But this feels like...

24:23Speaker 2:Surprised if there's no UFC UFC branding on the passport.

24:27Speaker 1:Yeah. No ads is is a big step backwards.

24:31Speaker 3:Yeah. I will say that the passport text where it's kind of sans serif, all caps, and there's, like, spacing, that does look like AI slop kind of.

24:39Speaker 1:It does.

24:40Speaker 3:This is, like, very common when you just have Too much

24:43Speaker 1:model one choice. Too wide of kerning is your problem. Mhmm. Okay. The kerning needs some work. Yeah. It does read a little odd.

24:52Speaker 2:That's pretty high stakes graphic design.

24:54Speaker 1:It is.

24:54Speaker 2:Most Getting

24:55Speaker 1:lot of feedback.

24:55Speaker 2:They're like, yeah, we're gonna make this, you know, pamphlet for a conference and nobody's gonna read it. And if they do, they'll look at it for a second. The passport's like, we're gonna make, you know, a 100,000,000 of these, and then they're gonna carry them for a decade Yeah. Representing the country globally. Yeah. They will be inspected many times.

25:15Speaker 1:I'm I'm not I'm not into passports. I I don't I don't wanna leave America. It's, like, not a good thing. They could just get rid of them. Just stay here.

25:24Speaker 2:What else we got?

25:26Speaker 1:Oh,. It's time. Mistral.

25:30Speaker 2:Le Chonk. Absolutely. They're calling it Le Chonk.

25:31Speaker 1:Le Chonk. Yes. They're leaning into the jokes, Mistral AI, the French Neo Lab. Is it fair to call them a Neo Lab? Or are

25:40Speaker 2:they just a lab?

25:41Speaker 1:They're just a lab. Right? They're pre Neo Lab.

25:45Speaker 3:Yeah. The... Yeah. They're... I would say so. Because they're they're kind of

25:47Speaker 1:like them preneo preneo lab specifically?

25:51Speaker 3:Let me actually consult our nomenclature.

25:53Speaker 1:Okay. Oh, yeah. I think they were, like, National Lab or something like that Oh, wait. Up there with Lawrence Livermore. But they launched Mistral Large four, aka Le Chonk. 1,000,000,000,000 parameters natively made multimodal, 49,000,000,000 active parameters. It is the best open weight model from U. S. Or Europe on aggregated benchmarks, state of the art on critical workloads, including cyber defense, manufacturing and finance, and it surpasses closed frontier models on visual grounding, forged in Europe, end to end deployable from Europe via our our own Mistral cloud infrastructure available to all via API today, working with cybersecurity partners privately. Open waits release end of October.

26:41So presumably, they'll release the open weights for like the cyber nerfed version, I would imagine. Something like that. I don't know. Anyway, what is your review, Tyler? Do you have any other data to share about Mistral's progress?

26:56Speaker 3:Yeah. I mean, it looks very good. I think it's, like, very much on par with the kind of frontier of the open source. So, like, the Chinese labs, it's, like, very much a contender.

27:04Speaker 1:Well, it's

27:05Speaker 3:not necessarily, like, destroying all of them on on every benchmark, but it's like certainly, if people are worried about using Chinese open source models because maybe down... Downstream there's gonna be some like legal ramification or whatever. Yeah. Like, this is a very good choice.

27:19Speaker 1:It really does change the open source, closed source debate because...

27:23Speaker 3:Yeah. I I think Mistral and Reflection, which is kind of the the American open source lab. Yep. Like, we're now starting to see, like, okay, these models are actually, like, quite

27:30Speaker 1:Yeah.

27:30Speaker 3:Quite competent.

27:31Speaker 2:And Reflection, came out with... It's called Beam yesterday. Woah. Not tapped in. Like, sorry. I... Sorry. I can't I can't hear I can't hear you. I can't hear you. It's called Beam. Yes. Anyways, we we can come to... Come back to that. But great great to see them getting a a new model out.

27:56Speaker 1:And Leo has the the the the funniest benchmark of them. Says, It's pretty funny that it seems the one thing Mistral Large Four is actually leading on is a benchmark about regulation, another EU banger. Harvey's legal agent benchmark is up to 15%, whereas other models are down at between 513%. Interesting. I wonder if that's intentional. I wonder if there's actually anything to read into that. I really have no idea. But it's certainly valuable. I'm sure Harvey and all the other legal companies will be excited because we... I mean, we read the whole thing about Harvey, their margins being in a really rough spot for a minute when they were overly overly reliant on, like, the most expensive frontier models.

28:44Now there's a ton of price competition between OpenAI and Anthropic, and then, obviously, there's a bunch of pressure from open source models. So the... Like, it it it... It's the true... It's truly the create the benchmark that you want the the labs to hill climb, And they just created the benchmark for, like, their exact workload, and then they're able to do it.

29:02Speaker 2:Sushi commander says, what are you talking about? Both Bean and Mistral. Beam and Mistral large are the generation behind the latest Chinese leading models. So putting you in the truth zone, Tyler. I mean, you can

29:13Speaker 3:look at benchmarks. It's like... Yeah. It's not leading them. It's like among one of the contenders. It's not the frontier Yeah.

29:19Speaker 1:Of the space model for It's like in in line, but a lot of the a lot of the... Like, the most recent round of of Chinese open source happened like a couple months ago, which is always rough. Because like you catch up to the frontier and then it's like, well, you're going to take another six months to get something out, where they're going to only take another two months to get something out. So that window. But there's so many other geopolitical implications that lead companies to go one way or another.

29:45So we'll see. We'll see. Olivia Moore has some data on what's happening in the battle for consumer AI dominance between ChatGPT, Claude and Gemini. A16z pulled the data across web and mobile plus consumer revenue. ChatGPT is at two x Gemini scale and six x scale on web and two and a half Gemini scale and 14 times Claude scale on mobile. Interesting. I mean, I guess that makes sense more consumer focused. You're you're you're pulling there.

30:15Speaker 2:The main thing here is just look at look at the run from Claude.

30:19Speaker 1:Yeah. You know, it was... I mean, we saw this in the App Store. Right? Like, you would open up the App Store and, like, Claude was at the top for a while and then and then fell down. And now, Chachypede is back on top and they're just going back and forth. It's the the the war for the frontier is just trading shots back and forth back

30:34Speaker 2:and Right now, Mew's still at number one. Vinted, who we're working on is number two.

30:40Speaker 1:Vinted is still number two.

30:41Speaker 2:So dominant. Folks over

30:44Speaker 1:at Vintage are are really doing a fantastic job.

30:46Speaker 2:Thank you for tuning

30:48Speaker 1:in to TBPN today.

30:49Speaker 2:It's been an honor.

30:49Speaker 1:Fantastic show. We'll see you tomorrow at I eleven

30:52Speaker 2:can't wait.

30:53Speaker 1:Leave us five stars on Apple Podcasts and Spotify. Sign up for our newsletter at tbpn.com and we will

30:58Speaker 3:see you.

30:58Speaker 1:Flash bang. Tomorrow. Have a wonderful Goodbye.