ChatGPT in Danger, Could go Bankrupt by 2024 at Current Rate of $700K in Daily Expenses

OpenAI spends around $700,000 per day to run ChatGPT. Their costs are currently being covered by recent investments made by companies like Microsoft. However, these investors may stop funding if OpenAI does not become profitable soon, which could cause the company to face bankruptcy by the end of 2024. Microsoft's $10 billion investment is currently keeping OpenAI afloat, but the company's losses have doubled to $540 million since developing ChatGPT. While the CEO no longer owns equity, OpenAI has shifted from a non-profit to a for-profit business model.

Visitor numbers to the ChatGPT website peaked at 1.9 billion in May but have since declined to 1.7 billion in June and 1.5 billion in July. This decline is partly due to companies prohibiting employees from using ChatGPT directly but allowing API access. However, the rise of open-source alternatives provides new competition. Meta's Llama 2 model, available through a partnership with Microsoft, can be used commercially and modified more freely than OpenAI's offering.

Other challenges include GPU shortages limiting OpenAI's ability to improve models. Elon Musk developing a rival chatbot also poses a threat. While the paid version may generate more revenue, the financial viability remains unclear. An IPO could lead to OpenAI's acquisition by a larger company, providing an exit for investors. However, uncertainty remains around OpenAI's ability to become profitable and sustain itself long-term.

Adobe Rolls out New Generative AI Features on Adobe Express

Adobe is now rolling out AI-powered features to Adobe Express, its cloud-based all-in-one design platform, using its Firefly generative AI model. Designed to make content creation more accessible, Adobe Express provides quick templates for social graphics, videos, editing PDFs, and more. The latest version of Express is now available on desktop for free, with plans to roll it out to mobile soon. An Adobe Express Premium subscription is included at no extra cost for existing Creative Cloud members, and an enterprise tier is available.

Users can now generate custom text and image effects using prompts in over 100 languages. Quick actions like automatic background removal and animating from audio are also included. A full list of new features can be found on Adobe's website. In comparison to Canva, which has supported similar AI features since 2019, Adobe Express is still playing catch-up in terms of simplicity and capability. While the generative features can work well, they are not as advanced as Photoshop's Generative Fill tool powered by Firefly. However, Adobe asserts that Firefly is commercially safe since it is entirely trained on Adobe-owned content. This could convince some to use Express over competitors.

Google Introduces New Updates to AI-Powered SGE and is Reportedly Developing Life Advice Tools with DeepMind

Google is introducing several new updates to its AI-powered Search Generative Experience (SGE). One feature allows users to hover over words in AI responses to view definitions and related images to aid understanding. Another update focuses on improving coding information across languages by highlighting syntax. SGE is also getting an experimental feature that aims to help users browse the web by providing an AI-generated list of key points from articles and jumping to relevant sections. This is similar to existing content highlighting but powered by AI. Publishers can opt out of this feature for paywalled content. Rival Bing Chat already offers a comparable article summarization feature.

In other news, Google's DeepMind unit is reportedly developing at least 21 different generative AI tools focused on providing life advice, planning assistance, and tutoring according to the New York Times. Over 100 Ph.D.s have been working on the project which is being tested through Scale AI to examine if the tools can offer help with relationships and intimate questions. However, Google emphasizes the tools are not intended for therapeutic use and links to mental health resources instead of advice. There is ongoing debate around using AI for medical or therapeutic purposes given past incidents where chatbots provided harmful advice.

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Ledger Announces U.S. PayPal Integration, Lets Users Buy Crypto from Within App

Image Credits: Ledger

Ledger Live has added PayPal as a new fiat on-ramp option for purchasing cryptocurrencies. Previously, Ledger Live supported purchases through partners like MoonPay, Ramp, and Simplex.

Ledger chairman and CEO Pascal Gauthier stated that combining Ledger Live and PayPal will simplify transactions while maintaining security. He said Ledger is committed to simplifying crypto and PayPal aims to facilitate affordable, reliable money movement.

Founded in 2014, Ledger claims to have sold over 6 million of its Ledger Nano hardware wallets since, establishing it as a leading manufacturer. In May, it faced controversy over a secret recovery phrase storage service before clarifying its wallet functionality.

While PayPal debuted its stablecoin PYUSD on August 7th, the August 15th Ledger Live announcement did not list PYUSD as one of the available coins bought through PayPal integration. PayPal's addition continues Ledger Live's expansion of fiat-crypto on-ramps for purchasing digital assets directly in its wallet app without additional withdrawal steps. This aims to streamline the process using PayPal's established online payment network.

Shibarium Ethereum L2 Goes Live on Mainnet, $1.7M ETH Gets ‘Stuck’ in Bridge

Shiba Inu launched the mainnet for its Shibarium Ethereum layer-2 scaling solution on August 16th after months of testing. Shibarium uses a novel proof-of-participation consensus and is designed to interact with Ethereum while providing better scalability and costs. The Shiba Inu community also built a decentralized exchange, native token, metaverse, and game around cryptocurrency.

Prior to launch, over 100 companies were reportedly developing Shibarium. Shiba Inu's developer noted Shibarium incorporates decentralization, interoperability, and user focus like the proposed "everything app" concept, governing the ecosystem through its technology and community framework. Shibarium will utilize Heimdall validators and Bor block production similar to Polygon, with the Tendermint consensus engine and EVM compatibility.

However, Shibarium encountered major issues after launch. Approximately $1.7 million of stuck Ethereum and $762,000 of locked BONE tokens were found. Other users reported RPC node communication problems. Trading volume plunged the Shiba Inu price 8% amid the multi-hour network freeze, though developers claimed the difficulty stemmed from unexpected traffic rather than a specific issue.

As a precaution, moderators restricted some discussions and asked users to connect wallets to participate, implying the problems prevented planned announcements. The launch highlights scalability challenges when blockchain networks face sudden surges.

Sei Network Launches Token and Mainnet Beta, Community Frustrated over Small Airdrop

Sei Labs has unveiled the mainnet beta launch of the Sei network, a Cosmos SDK-based Layer 1 blockchain aiming to facilitate frictionless trading between digital assets. It features built-in front-running prevention. The launch introduced the SEI governance token, trading at a $350M market cap and a $1.9B fully diluted valuation. Korean exchanges like Upbit and Bithumb see strong SEI demand while Coinbase, Binance, and Kraken also listed it.

The project distributed 51% of the 10B total SEI supply through staking rewards, ecosystem initiatives, and airdrops. However, many receiving small allocations vented frustration on social media about airdrop amounts. The team and private investors each received 20% while the 9% foundation portion was also allocated. Notably, the vesting schedule was not released.

In April, Sei Labs raised $30M in two strategic rounds including from Jump Crypto. It expects DEX volumes to rise with ongoing regulatory issues and plans to capitalize on this trend. Over 30 applications are currently live on the network, with further updates anticipated in the second half of 2022. Eligible airdrop recipients can follow blog instructions to claim, though the functionality is not yet live. The launch draws comparisons to Sui, another hyped Layer 1 that debuted in May.