Major updates in the world of AI: OpenAI and Google present new advancements

OpenAI Revolutionizes with GPT-4o

On May 13, 2024, OpenAI introduced its latest and most advanced language model, GPT-4o. This model is not only more powerful and faster than its predecessors but also introduces significant innovations: integrated memory and free accessibility for most users.

Key Innovations of GPT-4o

• Omnimodal Capability: GPT-4o integrates text, audio, and image inputs, providing more comprehensive and accurate responses. It can respond to audio inputs in just 232 milliseconds, approaching human response time in conversations. 
• Integrated Memory: This feature allows the model to remember previous interactions, improving coherence and continuity in conversations. Additionally, GPT-4o has enhanced its vision capabilities, analyzing and understanding images with greater precision. 
• API Implementation and Improvement: The implementation of GPT-4o will be carried out in phases. From May 13, text and image capabilities will be available for free to all ChatGPT users. For developers, the OpenAI API will offer twice the speed, at half the price, and with better speed limits compared to GPT-4 Turbo.

Impact on Mergers and Acquisitions of OpenAI's GPT-4o:

• Macroeconomics: Increased technological competition and economic growth driven by greater productivity and efficiency. 
• Microeconomics: Strategic acquisitions of AI startups, collaborations to integrate new technologies, and the development of innovative products.

Google I/O 2024: Making AI Accessible and Useful for Everyone

On May 14, 2024, Google held its annual I/O conference, highlighting a range of artificial intelligence products. These span from new search and chat features to AI hardware for cloud customers, solidifying its competition with giants like OpenAI.

Main Announcements from Google:

• Gemini AI Updates:

  -Gemini 1.5 Pro: Capable of summarizing large amounts of data, such as 1,500 pages of text. 

  -Gemini 1.5 Flash: More cost-effective, designed for small tasks, such as summarizing conversations and captioning images and videos. Translation Improvements: Available in 35 languages globally. 

   

• Google Veo and Imagen 3:

  -Veo: High-definition video generation. Imagen 3: Production of more realistic images with fewer visual artifacts. Other Tools:

  -Audio Overviews: Audio discussions based on text. AI Sandbox: Creating music and sounds from scratch based on user prompts.

New Search Functionalities:

• AI Overviews: Quick summaries of answers to complex questions. Assisted Planning.
•  Capabilities: Assistive integration in search. 
• Multimodality: More images and videos in generative AI tools.

AI Hardware:

• Trillium (sixth-generation TPU): Available at the end of 2024. 
• Nvidia Blackwell. GPUs: Available in early 2025.

Impact on Mergers and Acquisitions of Google's AI technological innovations:

• Macroeconomics: Strengthening the dominance of large tech companies and the potential creation of new AI regulations. 
• Microeconomics: Adoption of advanced technologies through acquisitions, optimization of operations, and increased competitiveness of tech startups.

The advances of OpenAI with GPT-4o and the innovations presented at Google I/O 2024 signify an acceleration in the adoption of advanced AI, boosting competitiveness and efficiency in various sectors.

These developments will drive an increase in mergers and acquisitions, consolidating the position of major tech players in Europe. Together, they represent a significant step toward a more integrated future between technology and the end user.