The best use of AI is to create tools so you don’t have to use AI. Unquestionably, generative AI is powerful. It lets you accomplish things outside your skill sets, at speeds greater than you’re capable of. But… it’s also hungry – for electricity, fresh water, bandwidth, and even employment. Token costs on a per…
Summary In today's episode, I explore why retrieval augmented generation and hybrid databases render fine-tuning obsolete for most enterprise AI applications. Here's what this means for you. You can cut AI costs and reduce security risks by combining vector databases, structured databases, and knowledge graphs instead of retraining models on your proprietary data. You'll also…
What’s AI best at when it comes to innovation? Context. Specifically, the context in which your idea fits. AI is generally not good at completely net new ideas because they don’t exist in context, AND because by definition something truly innovative is low probability. AI by definition generates the highest probability items in a local…
Summary In today's episode, I address a viewer's question about how AI absorbing entry-level execution tasks impacts the junior talent pipeline. Here's what this means for you. You'll discover that the path forward shifts from execution training to junior management training, since machines still require oversight and clear direction. You'll also learn these concepts: why…
Use the right model for the right task to save token budget. Planning? Use the biggest, smartest models. Execution? Use a midrange model that can follow directions well. Reading and summarization? Use a light, fast, dumb model that does well when it’s given all the data. If you leave your favorite AI tool set on…
“(Model) can’t even tell when to go to the car wash!” “(Model) reduced my workload by 84 years and built three new companies in an evening!” These are the two general hot takes on any new AI advancement, especially new models. They’re overly reductionist, absurd caricatures that don’t help us understand a new model and…
(Earned – Spent) / Spent = ROI A brief reminder that this is ROI, and nothing else is. Earned minus spent, divided by spent, is return on investment. Nothing else is ROI. If you do not know: What you earned What you spent You cannot measure ROI. Period, end of story. Lots of people are…
AI generally doesn’t think out of domain. There’s a technique in metacognition called lateral thinking, where you take a concept from one domain and you move it to another domain. For example, if you play World of Warcraft and you know how to win PvP at Arathi Basin, those same strategies and tactics can be…
