AI companies are attracting significant investor funding and achieving high valuations early in their development, leading many to question whether the AI industry is in a bubble.
Nick Frosst, co-founder of Cohere, a company that creates custom AI models for enterprises, recently shared his perspective on the TechCrunch Found podcast, stating that he does not believe the AI industry is in a bubble. While he acknowledges the excitement surrounding AI, he argues that labeling it as a bubble undermines the value that companies like Cohere are bringing to their customers through innovative features and process automation.
Frosst emphasizes the tangible value AI technology provides, citing examples where their models have enabled new features and streamlined processes for customers. He believes that such practical benefits counter the notion of a complete bubble in the industry.
However, Frosst does not share the optimism of some industry peers about the potential for achieving artificial general intelligence. He maintains a realistic view that reaching human-level intelligence is a distant goal for AI technology.
At Cohere, the focus is on leveraging research to identify the most valuable applications of neural networks. The company’s approach is influenced by the work of co-founder Aidan Gomez, who is recognized for his contributions to AI research, including the development of the transformer model. Cohere uses this research as the foundation for building custom models for enterprise clients.
In discussing the role of foundational models in AI technology, Frosst highlights the importance of specialization and expertise in specific fields. While larger models may have advantages, he advises against expecting a single model to perform all tasks across different sectors.
Frosst emphasizes the need for a practical and informed approach to using AI technology effectively, recognizing its potential value while avoiding hyperbolic claims about its capabilities.
