Day: 20 November 2023

Posted on

Fired OpenAI co-founder Sam Altman to lead Microsoft’s new AI team

AI robot and human

Sam Altman, the former CEO of OpenAI, who was fired last week in a controversial board decision. 

According to the latest reports, Altman is joining Microsoft to lead a new AI research team that will focus on advanced and ethical AI development.

Altman is a well-known entrepreneur and investor who has been involved in several AI-related projects.

He was one of the co-founders of OpenAI, a research organization that aims to create artificial general intelligence (AGI) that can ‘benefit humanity without causing harm’ or being controlled by a few elite players.

Leadership and ideology clash

However, Altman’s vision and style clashed with some of the board members and researchers at OpenAI, who reportedly accused him of being too ambitious, secretive, and authoritarian. They also reportedly claimed that he was pursuing a dangerous goal of creating artificial superintelligence (ASI).

The disagreements escalated when Altman announced a partnership with Microsoft in 2023, which gave Microsoft exclusive access to OpenAI’s GPT-4 Turbo model, a powerful natural language processing system that can generate realistic text on any given topic. 

Some of the OpenAI staff and community members reportedly felt let-down by this deal, which they saw as a violation of OpenAI’s original mission of creating and sharing ‘AI for the common good’.

On Friday 17th November 2023, the board of OpenAI voted to remove Altman as CEO, citing irreconcilable differences and lack of trust. He was replaced by Emmett Shear, the former CEO of Twitch, who promised to restore transparency and collaboration at OpenAI.

Altman to join Microsoft

Altman did not comment on his dismissal. However, on Monday 20th November 2023, he rocked the AI world by announcing he was joining Microsoft as the head of a new AI research team.

He reportedly said that he was excited to work with Microsoft’s talented people and that he would continue to pursue his vision of creating beneficial and ethical AI for humanity. 

Altman’s move to Microsoft has sparked mixed opinions from the AI community. Some have praised him for his innovation and courage, others have criticized him for his arrogance and recklessness.

There were reports over weekend suggesting employees and investors including Microsoft were pushing for Mr Altman to be reinstated. Some employees resigned in support of Altman.

Some have expressed concern about the potential impact of his new role on the future of AI development and regulation.

Where do OpenAI, Microsoft and the AI go from here?

Posted on

Singapore to pilot use of wholesale central bank digital currencies in 2024

Central bank digital money

It was reported Friday 17th November 2023 by the city-state’s central bank that Singapore will be piloting the live issuance and use of wholesale central bank digital currencies in 2024.

During the pilot, the Monetary Authority of Singapore, (MAS) will partner with local banks to pilot the use of wholesale CBDCs to facilitate domestic payments.

What is a CBDC?

A CBDC is a digital form of a country’s fiat currency, issued and regulated by the central bank or monetary authority of that country. CBDCs are different from cryptocurrencies, which are decentralized and not backed by any government.

Singapore is one of the countries that has been actively exploring the potential of CBDCs, both for wholesale and retail purposes. Wholesale CBDCs are meant for interbank transactions and cross-border payments, while retail CBDCs are meant for general public use and everyday payments.

CBDC MAS timeline

In November 2021, the Monetary Authority of Singapore (MAS) launched Project Orchid, a retail CBDC project that aims to build the infrastructure and test the use cases for a digital Singapore dollar. The project will explore the concept of purpose-bound digital Singapore dollars, which allow senders to specify how and where the money will be used.

In August 2021, MAS announced Project Dunbar, a wholesale CBDC project that involves the collaboration of the Reserve Bank of Australia, Bank Negara Malaysia, and South African Reserve Bank. The project will develop prototypes of shared platforms for cross-border transactions using multiple CBDC’s.

In June 2021, MAS published a monograph on the economic considerations of a retail CBDC in the Singapore context. The monograph concluded that there is no urgent case for a retail CBDC in Singapore, but MAS wants to be prepared in case the situation changes in the future.

In April 2021, MAS extended the regulatory sandbox for Project Ubin, a wholesale CBDC project that started in 2016. Project Ubin has successfully demonstrated the feasibility of using blockchain technology for clearing and settlement of payments and securities.

Singapore to pilot use of wholesale central bank digital currencies in 2024

In March 2021, MAS joined the Multiple CBDC (m-CBDC) Bridge initiative, a wholesale CBDC project that involves the Bank of Thailand, the Hong Kong Monetary Authority, and the Bank for International Settlements. The project will explore the use of distributed ledger technology to enable real-time cross-border transactions using multiple CBDC’s.

Process

Banks will issue tokenized bank liabilities in the form of claims in balance sheets. Retail customers can then use the tokenized bank liabilities in transactions with merchants, who will then credit these bank liabilities with their respective banks. Tokenization refers to the process of issuing a digital form of an asset on a blockchain.

The CBDC will then be automatically transferred to the merchant as a form of payment during the transaction.

Many central banks are testing and exploring their own digital currencies, includung the UK and U.S.