Don’t forget to tip your (robot) server

If you know me, then you know that Las Vegas is my home away from home. Or at least it used to be. Since I last spent time in Vegas, a bar at the Venetian and Planet Hollywood has opened, called Tipsy Robot. You punch in your order, pay, and a pair of mechanical robot arms go to work to prepare a refreshing cocktail for you to enjoy.

The good news is that I’ll never have to send back a gin and tonic because they put a lemon instead of a lime in my drink. The bad news is that the bill comes with an automatic 10 percent gratuity. So yes, you still need to tip your server / bartender even if they are a robot.

It’s like living in the future.

Doubling down on AI

Many years ago, at the Tropicana Hotel & Casino in Las Vegas, I once saw a guy in a Tom Brady jersey, double-down on successive (winning) hands of blackjack (at a $5 table). From my vantage point, after 15 minutes he was up at least $12,000 dollars. I told you that story to tell you this one.

I wrote some time ago that AI was too big to fail and that it wouldn’t matter if OpenAI or Anthropic went bankrupt. Both would be absorbed into MSFT, Google, or Amazon quickly for pennies on the dollar. The collateral damage however could be catastrophic because much of the AI buildout is debt-financed. And now, the institutional investors and market makers who manage your 401k or pension have decided to “Tom Brady” their way to the AI promised land. NVIDIA has announced that it now has partnered with Apollo, BlackRock, Blackstone, Brookfrield, Goldman Sachs, and KKR to establish “independent financing platforms designed to mobilize 3rd party capital to support the buildout of AI infrastructure over time.” The announcement signals two important things:

1. The AI bottleneck is no longer GPUs (called it) or Memory (called it) or Networking (called it) or Electricity (called it), no, the number one bottleneck now is financing (did not call it).

2. If indeed OpenAI goes bankrupt (I bet they will), the second-order effects would be so HUGE (see above) that the the world’s largest bank (and lender of last resort) would have to step in and bail everyone out. Sound familiar? Afterwards, life, for the most part will go back to normal, except for the crippling inflation and lack of funding for many home buyers and small businesses. But otherwise, back to normal.

The moral of the story is to choose your friends wisely. If I had a rack of “High Society” sitting in front of me at a casino table, one of my friends would take half the stack and hide it from me. Tom Brady chose his friends poorly.

RIP Trop in Vegas. Good times.

Today’s Post was brought to you by the letter M

Random Thoughts: Has it occurred to anyone that today’s frontier AI models might all be trained by reading code that I wrote in the 00’s and 10’s?

“The only way to fix spaghetti code is…MORE spaghetti code!” -Me

Laugh all you want. All those years I only ever missed one project deadline. Fortunately, no one noticed. Everyone was too busy running around screaming into their Cisco 7900 IP phones “WHAT THE f*#! AM I SUPPOSED TO DO WITH SIXTY THOUSAND SHARES OF ENRON!?” True story.

Those were crazy times. Lunch was a Marlboro Red and a Mt Dew, dinner was a filet mignon at Morton’s, and Mary J Blige was blasting Family Affair through my multi-disk Blaupunkt setup.

Life was beautiful and the sun shone everyday.

Jevons Paradox

Random Thoughts: Jevons paradox is an economic theory stating that as technology makes the use of a resource more efficient, total consumption of that resource increases rather than decreases. This happens because higher efficiency lowers the effective cost, which drives up overall demand. 19th century economist William Jevons (I bet his friends called him Billy) observed that James Watt’s (perhaps aka Jimmy Watt) improved steam engine made coal usage far more efficient, which actually caused British industries to buy and burn more coal overalI. I told you that story to tell you this one.

As AI makes workers more efficient in their everyday work, there will be a net increase in demand for human employees. I’ve said it before and I’ll say it again, I have never in my 300.0 years of working ever sat in a quarterly planning meeting and thought to myself, “man I wish we had more stuff that we could be working on.” And to anyone who disagrees with me, I’m rubber and you’re glue. Whatever you say bounces off me and sticks to you.

It’s like living in the future

Filed under: I did not see this coming.

Real-world data from Waymo shows that over 220 million miles driven, Waymo vehicles–in Los Angeles, San Francisco, Phoenix, Austin and Atlanta–have 94% fewer serious injuries, 82% fewer air bag deployments, and 93% fewer pedestrian injuries. The evidence has not been independently verified, but it is unusually transparent, large‑scale evidence.

So who would be against autonomous vehicles (AVs) besides gear heads like me?

Trial lawyers. 😂

Lobbies representing troll, I mean trial lawyers are lobbying for the right to sue automakers et al. It turns out trial lawyers earn a huge amount litigating ordinary auto accidents. Go figure.

Northern Virginia – The birthplace of the internet

If it sounds like I’m virtue signaling, yeah, I can live with that.

Every summer I donate money to a number of public school education charities. I am motived to do this for two reasons – neither of which is because I’m a good person. Remember how angry I used to get back in 2015? Yeah, good times – I miss that guy.

I donate to education because 1) I reeee-he-heeeally hate people who were born on third base and walk around like they hit a home run and 2) If I have achieved any measure of success it was because of educators who were constantly forcing me to do better. For example, I had to sit in the front row, if I had already finished homework, test, quiz, or assignment, then they forced me to grade papers, make copies, staple copies, run errands for the front office, and if all else failed, I had to go get them coffee.

My fortune is largely the result of the country I was born in, the social conditions which arose without my cooperation, manners and opinions which I cannot trace back to their source, and many origins with which I am completely unaware of. Forces that were all completely out of my control and that simply carried me with the current.

So whenever and wherever I can, I give back to the Commonwealth of Virginia, Fairfax County Public Schools, youth sports leagues, and teachers who need coffee and supplies. I don’t complain about the traffic, the heat, the humidity, or the THREE HUNDRED AND THIRTY ONE data center projects that Dominion Energy has waiting in the queue for power connections – Great Scott! That’s almost as many gigawatts as the entire 13-state Mid-Atlantic grid today! But I’m not leaving, they’re leaving; Once someone with a calculator does the math and realizes they’re never ever going to be able to power their data centers in the fertile Piedmont Valley that gave birth to the internet. If Silicon Valley is so star-spangled-awesome then why don’t they go build data centers there! But what the hell do I know, I went to public school.

P.S. – I fulfilled all my donation obligations to Virginia Tech decades ago. Go see VT Parking Services, they got all my money. Go Hokies!

What do you do?

Tell me if you’ve heard this story before:

“AI is going to disrupt/replace…”

I was just reading about the D’Ieteren Group. Never heard of them? I bet you’ve written on one of their notebooks. They own Moleskine – among other things. I told you that story to tell you this one.

In 1805, 14 year old orphan Jean-Joseph D’Ieteren took over a small workshop in Brussels making wheels for horse carriages. The company he would found would become one of the most celebrated horse carriage makers throughout Europe. But this carriage didn’t get wiped out by the automobile, two World Wars, or the Great Depression. In fact, it walked away from its core business four times. 221 years later, the D’Ieteren Group operates in more than 40 countries, employs over 32,000 people, and generates annual revenues exceeding $8.2 billion.

Whenever a stranger asks me “what do you do?” I’m never quite sure how to respond…unless I’ve been drinking and then the answer is usually “I own a urinal cake company” or “I sell tank insurance to the military”. 😂

What was I saying? Oh yeah, there’s a lesson in the story of the D’Ieteren Group, but I’ll be damned if I know what it is. 🤷🏻‍♂️ IBM used to make calculators, Nokia started as a paper mill, American Express was an express mail order company, and Netflix used to rent physical DVDs via mail order. Water’s wet, the sky is blue, and…OH I remember what I was going to say.

“Never confuse where you live with where you work. And never confuse who you are with what you do.” -Me

Calculator screen displaying the number 58008 with memory function buttons above.

Can You Teach AI to be a Dumbass?

Random Thoughts: We can debate until the cows come home on whether current models and systems can be scaled to create General AI. However it happens, I think we can all agree future models and techniques will probably still be derived from how the human brain functions and processes information. Can we build models that can develop logic and reasoning skills and be situationally aware to apply the right skills in the proper context? Probably. But can AI be creative? 🤷‍♂️

Head on a guillotine, my answer is no. Claude never had a childhood.

If I were to place a standard calculator, a bottle of Elmer’s glue, and a mechanical pencil in front of you and then asked, “what can these items be used for?” Most of you, and probably General AI would respond: 1) addition, subtraction, multiplication, etc., 2) an adhesive to bind objects together, and 3) a writing tool.

Is that the best you can come up with?

Me: 1) You type 5-8-0-0-8 into the calculator. 2) You pour the glue onto both your hands, spread it evenly, wait for it to dry, and then peel the glue off your skin. 3) You give your buddies an imaginary cooties vaccine.

Yes, I was that kid in class, and today I’m that kid at work. Knock on wood if you’re with me.

That is all.

Magic 101

Random thoughts of the day:

  1. FFS why would you put the delete button two microns away from the archive button!!!
  2. “Any sufficiently advanced technology is indistinguishable from magic” – Arthur C Clarke

In this context, the current set of AI tools are, relatively speaking, crude and rudimentary. Technologists talk about prompting and context windows, and tokens as if it were as exciting as the first season of LOST. CEOs are all in on AI because they see an opportunity to either increase 💰 or save 💰💰💰. Though I am of the belief that most CEOs couldn’t tell you how to connect to the company WiFi much less craft an AI strategy. But I reckon most people don’t see a ton of value in AI. Perhaps a good analogy is the BlackBerry or Palm Pilot. The only reason anyone carried one of these is because it was required for work or because it was a status symbol for pretentious aholes. See above, me 20 years ago. But the iPhone! There were lines straight up and down and around the corner and down the street at the Town Center when iPhones came out. It was magic.

Until Tim Cook or someone gets off their ass and builds a device or software that makes AI appear as though it were magic, no one is really going to be compelled to use it.

1,106 Days Later

Someone once wrote, “art is the stored honey of the human soul, gathered on the wings of misery”

Art provides self-expression and healing. An outlet to process emotions and confront thoughts. It allows individuals to explore different perspectives and connect with experiences beyond their own. It provides nourishment to the human spirit and inspires us by transforming personal experiences into universal experiences.

Honest Question: What happens to the human spirit when the primary source of art is produced by Artificially Intelligent Nano Anthropic Generative Pre-Trained Transforners?

Great art, great writing, great code, and great accomplishments require [human] suffering.

To that end, if you’ve ever worked with me then you’ve probably heard me yell the following:

“I know two sprints is not a lot of time, but you’ll figure it out. If it was easy, then [with all due respect 😁] they would have hired Accenture to do it.”