tech
How technology works, and the ways it is impacting the world
Anthropic is stressing that Fable 5.1 and Mythos 5.1 are the exact same AI model. This clarification comes as companies face increasing pressure to justify and control AI usage costs, especially with the rise of more capable, lower-cost models from China.
Anthropic's Fable 5.1 model is reported to be more skilled in handling complex programming tasks, such as software projects and code reviews that span an entire application. The updated version also shows improved capabilities in scientific applications, including experiment design and data interpretation from dense diagrams.
Ben Thompson detailed his extensive efforts to reorganize his home's server rack and network infrastructure, involving the rewiring of 70-80 Ethernet runs. He emphasized the importance of network resilience, having recently incorporated a secondary internet source via Starlink.
Andrew Sharp expressed curiosity about Anthropic's strategy to address customer complaints regarding high token costs and frequent server downtime, especially given the improving performance of competitor models. Ben Thompson noted that Anthropic seems to lack sufficient compute resources, leading to these issues.
Ben Thompson humorously described Anthropic's release strategy for its Mythos model, suggesting a pattern of 'scaremongering' to gain attention from governments. He questioned the emphasis on the model's dangerous capabilities and noted the low adoption rate among customers.
Meta has agreed to a record $17.1 billion settlement with 29 states to implement stricter social media usage limits for children. This includes a two-hour daily limit on Instagram and Facebook, productive pauses, nighttime blocks, and restrictions during school hours. The settlement also mandates stronger age verification, safer content controls, and improved parental tools.
Ben Thompson expresses reservations about the Meta settlement, questioning whether it shifts parental responsibility to corporations and raises First Amendment concerns regarding content restrictions. He notes that settlements like this can have the force of law without going through the legislative process.
Andrew Sharp is taking a wait-and-see approach to the Meta settlement, pointing to Australia's ban on social media for children under 16 as a cautionary tale. Early results from Australia suggest that children found ways to circumvent the ban, with minimal change in platform usage.
Ben Thompson suggests that Meta's settlement could be a strategic move to set future regulatory standards. He refers to this as 'regulatory capture,' where a company influences the regulations that govern it, potentially to the detriment of competitors or the broader market.
NVIDIA announced a new initiative to establish independent financing platforms aimed at mobilizing over $500 billion in third-party capital for AI infrastructure development. This plan involves shifting GPU depreciation risk away from traditional lenders through financial engineering.
A listener questioned if NVIDIA's approach to financing AI infrastructure, which involves shifting GPU depreciation risk, mirrors the financial engineering that led to the 2008 subprime crisis. The discussion explored whether this could create preconditions for a cascading collapse or if it's the only way to expand capital for AI build-out.
The podcast discusses the increasing demand for capital to fund AI infrastructure, drawing a parallel to the historical "running out of money" issue from 1873. Ben Thompson notes the significant increase in debt raised by large companies for this purpose.
The discussion touches on how pension funds, designed for long-term liabilities, traditionally invest in infrastructure projects like toll roads due to their predictable, long-term payback. This type of 'patient capital' is contrasted with the rapid funding needs for AI infrastructure.