🤖 Practical AI - AI's Expanding Role in Business Efficiency and Market Innovations
From Klarna's AI-driven cost savings to Google's efforts to refine its AI technologies, and Mistral's breakthroughs.
Hi! I’m Mike and welcome to this free edition of the 'Practical AI’ newsletter. Each week, I’ll cover what’s happened, what’s happening and how that applies to you.
This week's insights highlight the dynamic and rapidly evolving AI landscape, where businesses are not only harnessing AI to enhance efficiency and customer satisfaction but also navigating the challenges and opportunities presented by these advanced technologies. As AI continues to mature, its integration across various sectors promises to unlock unprecedented levels of innovation, efficiency, and competitive advantage.
AI News Roundup
GPT Store Updates: The GPT Store has received some updates, including the addition of social profiles, ratings, categories, and showcasing other GPTs by the same builder, further enhancing user experience and discoverability within the platform.
GitHub Copilot Enterprise available: CoPilot Enterprise is now generally available, with AI assistance tailored to your organisations code.
OpenAI accuses NYT of hacking: OpenAI accuses NYT of hacking ChatGPT to set up copyright suit in a recent cour filing.
Klarna's AI Assistant: A Game-Changer in Customer Service
Klarna, a Swedish payment provider, has made significant strides in enhancing its customer service through the integration of an AI assistant developed with OpenAI technology. Within its first month, this AI powerhouse handled 2.3 million conversations, accounting for two-thirds of Klarna's total customer service interactions. Its efficiency is equivalent to the workload of 700 full-time agents. Impressively, the AI has maintained customer satisfaction rates on par with human agents while reducing repeat inquiries by 25%. Supporting over 35 languages across 23 markets, Klarna's AI assistant is projected to boost the company's profits by $40 million in 2024. This achievement underscores the financial impact AI can have, echoing the success stories like the Derby City Council's integration of AI.
The integration of AI in customer service, as seen in Klarna's case, aligns with the broader trend observed this year. For instance, the Derby City Council story highlighted AI's potential in streamlining operations and delivering cost savings. Klarna's success story further underscores 2024 as the year when AI systems begin to tangibly prove their value, enabling companies to explore new revenue generation avenues or achieve significant cost reductions.
Read more in Klarna’s press release.
Google's Response to Gemini Controversy: Paused Amid Growing Concern
In a recent development, Google announced a temporary halt to its AI-powered image generation tool, Gemini, to address inaccuracies in historical images generated by the tool. Following user feedback on social media, Google plans to relaunch Gemini with improvements to ensure higher accuracy and reliability. This hiccup led to a 3.5% drop in Alphabet's shares, highlighting the competitive tension between Google and OpenAI since ChatGPT's launch. Google's commitment to refining its AI tools underscores the pressure that the tech giant is under to compete against OpenAI and open source competitors. Read More
Mistral's Competitive Edge with New Model
Mistral has unveiled its latest model, 'Mistral Large,' setting a new benchmark in the AI industry by outperforming all other large language models (LLMs), except GPT-4, across key metrics. Unlike its predecessors, Mistral Large is not open source and comes with a 20% cost advantage over GPT-4 Turbo. Alongside, Mistral introduced 'Le Chat,' a ChatGPT alternative, now available in beta. A strategic partnership with Microsoft will make Mistral models accessible to Azure customers, reflecting Microsoft's inclusive approach to AI technologies on its cloud platform. This move not only diversifies Microsoft's AI offerings but also strategically positions the company amid potential anti-competitive scrutiny.
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