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Here’s what we have this week;

PICKS

1. GPT-4 is no longer the lone wolf in the “scary-good AI” valley. Anthropic, another AI lab just released, Claude 3—a new family of language models. It is going for the jugular, beating the reigning champ like OpenAI's GPT-4 and taking on newcomers like Google's Gemini. Claude.ai is also now the best free AI chatbot you can get.🍿Our Summary (marketing specific—also below)

2. Google is kicking back at “bad” AI content. In their March update to how search results are shown, Google wants to penalize spammy content (often created with p-SEO and increasingly AI).

3. Unlike old AI (optimization), the new AI (generation) can be steered with language aka prompts. Here’s a breakdown of Claude 3’s system prompt by Alignment Researcher at Anthropic. It’s considerably shorter than ChatGPT’s version and a good read on how to get an AI system to work as you want. Also see More Useful Things - A prompt library by Wharton Prof. Ethan Mollick.

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NEWS

• ChatGPT on the web now has “read-aloud” responses.

• IBM is deploying Adobe Firefly generative AI tool for marketing, design teams.

• IPG, the agency holding company is also using Adobe’s GenStudio.

• How the big holding companies are handling genAI.

• Wendy’s Fresh AI - the secret saviour after “surge” pricing debacle.

• 3 risks of using AI that brands need to be aware of.

• The AI disaster of Willy Wonka Experience.

• Kayak shows limits of DIY with absurd, AI-powered ads.

• Marketing has an AI skills shortage, here’s how to start setting your team up for success.

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QUICK BITES

GPT-4 is no longer the lone wolf in the “scary-good AI” valley. Anthropic is making bold claims with their latest release, Claude 3. The new family of language models is going for the jugular, beating the reigning champ like OpenAI's GPT-4 and taking on newcomers like Google's Gemini.

What is going on here?

Anthropic's betting big that Claude 3 is THE next-gen AI for businesses, And based on their benchmarks, they might not be just blowing smoke.

What does this mean?

Claude 3 isn't a one-size-fits-all. It comes in flavours (or should I say jingles): Opus, Sonnet, and Haiku. Opus is the monster truck, pricier but insanely powerful, Sonnet's your versatile workhorse and Haiku keeps things lean and mean for cost-sensitive tasks. Sonnet powers Claude’s web app for free users and Opus is there for the Pro members at the same $20/month.

Anthropic claims Opus flat-out beats GPT-4 and Gemini 1.0 Ultra on everything from general knowledge to coding challenges. Sonnet trades punches with GPT-4, winning some, losing others. Though little caveat: These benchmarks might not factor in the latest updates like GPT-4 Turbo and Google’s unlreased Gemini 1.5 Pro. More on “performance” below.

You can send large documents up to around 150,000 words to these models and they remember all of it. These models are vision-ready, so you can send images into them to give more info and context. Also, remember, Anthropic's whole thing is about safer AI. Past models were good but could be overcautious. They claim they did some behavioural design with Claude 3 that nails the balance—less likely to choke on harmless requests without going rogue. Also,

New Performance Narrative:

By now, we know that benchmarks are not the full picture. These things fail horribly at simple and complex tasks. OpenAI grabbed the attention last year with a narrative of “performs better than average human” on high-school and college exams.

Anthropic has done the same with Claude 3. A new benchmark that covers graduate-level questions where generalist PhDs score 34% and specialists 65%-75%, Claude 3 gets ~60%. Following similar lines, there is a high focus on results in understanding science and finance diagrams. Combine these with the use cases listed on the official blog to understand Anthropic’s narrative: “Claude 3 models are industry experts.”

Why should I care?

Sonnet and Haiku are giving a tough battle to GPT-4 but priced way cheaper. Opus performs too strong on benchmarks and even if it doesn’t blow GPT-4 out of the water, it’s safe to say that it is in the premium category.

Along with creating a GPT-4 grade model, Anthropic has opened up its API, which means businesses are likely to flock to them. If Anthropic is right about how impressive Claude 3 is in industry-specific tasks, those who jump on Claude 3 could gain a serious advantage.

Detailed report with technical details