health strategy
review
management, engineering and
technology review
Joaquim Cardoso MSc.
Senior Research and Strategy Officer (CRSO) —
for the “health strategy research”
Chief Editor
for the “health strategy review”
July 28, 2023
This is an Executive Summary of the article “Big Tech races to give generative AI a central place”, published on t
health strategy institute (hsi)
review
management, engineering and
technology review
Joaquim Cardoso MSc.
Senior Research and Strategy Officer (CRSO) —
for the Health Strategy Research
Chief Editor — for the Health Strategy Review
July 27, 2023
The tech industry is witnessing a heated race among Big Tech giants Apple, Amazon, and Meta (formerly Facebook) to integrate generative AI, particularly large language models (LLMs), into their products and services.
Generative AI, exemplified by ChatGPT, holds the potential to enhance existing software products by offering creative suggestions and anticipating user needs.
However, it also presents an opportunity to become a disruptive platform in its own right, transforming the balance of power in the tech industry.
Investors are currently focused on viewing AI as a business accelerant, expecting AI-powered enhancements to drive higher revenues for tech companies.
Microsoft’s decision to add a premium to its AI features for productivity apps indicates growing confidence in the generative AI wave.
As large language models become a core technology for future tech products and services, having control over cutting-edge LLMs might become a prerequisite for entering the tech big leagues.
Microsoft and Google are currently leading the development of generative AI technology through their close ties to OpenAI.
They are building ever-larger AI models, raising the question of whether other companies, like Apple, Amazon, and Meta, can catch up.
These companies have previously seen machine learning as an ingredient to improve their products, but they are now rapidly shifting to give AI a more central role in their operations.
- Amazon Web Services (AWS) has been urged to catch up with Microsoft in providing generative AI services, as Microsoft predicts significant growth from AI in its cloud business.
AWS is responding by announcing developments and offering access to various LLMs from different companies.
- Meta, with a massive user base, aims to deploy a range of AI-powered assistants, agents, and avatars to enhance user content and interactions with chatbots.
Meta has developed open-source language models called Llama, while Amazon and Apple are also in the race with their models called Titan and undisclosed ones, respectively.
Executives from Meta and AWS believe that there won’t be a single AI model dominating the market; instead, various models may cater to different purposes and preferences.
The ultimate impact of generative AI on the tech industry is still uncertain, but optimistic predictions suggest that it will soon impact tech companies’ earnings reports.
The integration of generative AI, particularly large language models, is a focal point for Big Tech companies.
It holds the potential to accelerate business growth and become a disruptive platform, transforming the tech industry.
The competition is fierce, with Microsoft and Google leading the way, while Apple, Amazon, and Meta race to catch up and offer their unique AI solutions.
As the generative AI boom takes hold, its impact on the tech industry will unfold in the years to come.
Full version, originally published at https://www-ft-com.ezp.lib.cam.ac.uk.
