Chat GPT: Should We Be Worried Or Excited?July 12th, 2023 by Blake Pinyan
On November 30, 2022, OpenAI, an AI and research company, made a groundbreaking advancement in the field of artificial intelligence with the introduction of Chat GPT. Since then, it has gained widespread attention and interest. In this article, we will provide an overview of Chat GPT, its functionality, examine the positives and negatives, and explore what the future holds for this technology.
Chat GPT is an advanced AI language model that utilizes machine learning algorithms to generate factual, coherent, and near-human-like responses to user questions. Serving as a chatbot, Chat GPT allows users to ask virtually any question and receive detailed responses within seconds. Through its architecture, the system efficiently processes and analyzes vast amounts of data, engaging in unique conversational interactions with users.
The acronym GPT in Chat GPT stands for Generative Pre-Trained Transformer. “Generative” refers to its ability to create rational and relevant content that resembles human language. The term “Pre-Trained” represents the extensive work undertaken to recognize and understand patterns, facts, context, and grammar. Lastly, the “Transformer” element equips it with the precision required to handle multi-faceted language tasks.
Chat GPT operates by digesting extensive datasets and acquiring knowledge of grammar, language rules, structure, and context. It can then generate words and sentences, tailoring responses to address the underlying queries of users.
There are several positive implications associated with the emergence of Chat GPT, including improved customer online service, quicker and expanded access to information, and assistance with editing and content generation.
Improved customer online service
Many companies now rely on chatbots rather than live phone customer support, leading to frustrations when users can’t quickly get the information they need. Chat GPT has the potential to enhance this user experience by providing tailored responses to specific questions. While AI-supported customer service models are becoming more prevalent, Chat GPT can mitigate frustration by offering direct answers instead of going through non-relevant articles or repetitive interactions with existing chatbots.
Quicker/expanded access to information
Chat GPT excels in providing fast and concise information. Unlike searching through multiple websites with Google, which can be frustrating, Chat GPT offers immediate responses without overwhelming users with an overload of information. Additionally, Chat GPT is not trying to sell you on something, as it is not influenced by paid advertisements or other incentives.
Assistance with editing and content generation
Chat GPT can also be a valuable resource for various writing purposes. It can assist with generating titles for posts, suggesting article ideas, or even writing a rough first draft. Additionally, Chat GPT offers editing capabilities, helping users fix grammatical errors, rephrase sentences, add missing keywords, and revise content within seconds. This feature saves time and proves beneficial for individuals who may not possess strong writing or editing skills.
However, the emergence of Chat GPT also raises some negative implications, including a potential disruption to the education system, the dissemination of inaccurate or outdated information, and potential job displacement.
Disruption to the education system
Chat GPT poses a threat to the education system as it enables shortcuts that can lead to academic dishonesty. Tasks such as writing essays, completing homework, or cheating on online exams can be facilitated by Chat GPT, potentially undermining the principle of hard work, and discouraging students from developing essential problem-solving skills.
Dissemination of inaccurate or outdated information
It’s important to approach the information provided by Chat GPT with caution. Since Chat GPT relies on pre-existing data, it cannot verify facts or provide up-to-date information. This limitation can be misleading for users who rely solely on its output. Moreover, Chat GPT’s inability to access current data restricts its usefulness for tasks requiring timely information or news on recent events.
Potential job displacement
Concerns about job elimination due to artificial intelligence, the underlying technology behind Chat GPT, are valid. While it’s likely that AI will replace certain roles, it is expected that lower-paying positions that can be automated and don’t require human emotion will be most affected. However, it’s crucial to recognize that new job opportunities that complement AI will also arise. The human touch and the desire to interact with fellow humans will always be valuable and difficult to replace.
The Future of Chat GPT
It is expected that Chat GPT will continue to evolve in the coming years, taking on more complex questions and enhancing the personalized user experience. Moreover, there is speculation that Chat GPT may evolve to include audio and video content in addition to written responses.
However, it is important to acknowledge the limitations and concerns surrounding Chat GPT. Identified issues should be addressed and improved upon in future iterations of the platform.
Anchor Bay’s Approach
As professional money managers, we are always looking for ways to streamline how we conduct our investment research and analysis. In the long term, we believe that Chat GPT could have a useful application for the extraction of financial data from specific companies, industries, and the overall macroeconomic landscape. However, as of now, it can only pull data up to 2019, which makes it less relevant for assisting with current investment selection. We can only wait for Chat GPT to evolve its timeline.
For those that engage us in investment management, you likely have some allocation to companies that have a tilt to the artificial intelligence movement. We are also exploring more focused exchange-traded funds that provide broad exposure to artificial intelligence rather than betting on smaller, more risky companies.
For those interested in trying out Chat GPT, a free version is available and easily accessible. Simply create an OpenAI account on chat.openai.com and start asking questions.
Chat GPT and the advancements in artificial intelligence are undeniably exciting, offering streamlined and efficient solutions in various aspects of our lives. Nonetheless, it is essential to recognize that the technology is not flawless, and we have already observed flaws and unintended consequences during its brief existence.
As with many aspects of life, it is crucial to approach artificial intelligence with an open mind and a commitment to self-education. The future impact of AI remains uncertain, but it is important to adapt to change and retain the belief that human-to-human interaction will always hold value, regardless of technological advancements.