💬 TikTok's Tako: The New AI Game-Changer?

What’s in today’s Business Edge update?

A little slow today on the news front. But we still have found some interesting stories for you: TikTok is testing a chatbot, ChatGPT captivating America yet retaining low usage, and Musk's brain-implant venture Neuralink finally securing FDA approval for human trials. 🧠💼

In other news, Microsoft isn't taking the UK block on its Activision Blizzard acquisition lying down, while Twitter introduces a new $5,000/month API tier aimed at startups. Plus, join us as we gaze into the tech crystal ball, exploring the technological evolution set to redefine the future.

Let’s start!

🌐 Big Tech Digest

Concise summaries of the most interesting tech news stories from Big Tech.

[1] Chatbot 'Tako' Shakes up TikTok Experience

TikTok is piloting 'Tako', its in-app AI chatbot aimed at enhancing user engagement. Limited testing in select markets shows Tako providing video suggestions and answering user queries, adding a layer of interactivity to the platform. However, questions around user privacy and data retention policies are surfacing, given the chatbot's retention of conversations.

More:

• Tako interacts through natural language processing, improving search and discovery on TikTok.

• The chatbot was first spotted by app intelligence firm Watchful.ai during tests on iOS devices.

• The bot will not appear on minors' accounts and conversations will be reviewed for safety purposes.

• TikTok utilizes a third-party AI provider customized for its requirements, instead of in-house tech.

_{Tags: #TikTok, #AI, #Privacy}

Read more about it at —> (read time: 7 minutes)

Insight:

This development signifies an industry-wide impact, demonstrating how tech giants leverage AI to enrich the user experience and maintain engagement. However, the move also highlights the growing privacy concerns tied to AI interactions. TikTok's experiment with Tako potentially indicates a strategic shift towards transforming the platform into a more interactive search engine. For the younger generation, TikTok already functions as a unique search engine for content discovery. Adding an AI chatbot could extend this capability, enabling users to engage in a more conversational and personalized discovery process.

In the long term, a successful implementation of Tako might extend beyond the TikTok app itself, creating a true competitor to Google in terms of vertical search and discovery. Given Google's plans to roll out a conversational experience in search, this may force a competitive reevaluation of user interaction models. As we observe TikTok's initiative, it's crucial to consider the privacy and user data safety implications. This feature's success could potentially reshape how users interact with the platform, prompting other social media networks to follow suit, thereby defining a new standard in the industry.

[2] ChatGPT Captivates American Adults, Yet Usage Remains Low

A new Pew Research Center survey reveals that while 58% of American adults are aware of OpenAI's ChatGPT, a versatile online chatbot, only a fraction have tried it. Despite its rapid rise in popularity and record-setting user growth, a majority of Americans remain unfamiliar with the tool or its applications, pointing to demographic disparities in awareness and usage patterns.

More:

• ChatGPT made headlines for reaching 100 million monthly users within two months of its public launch in late 2022.

• Pew survey finds substantial differences in ChatGPT awareness based on factors such as education level, household income, race, and age.

• Only 14% of U.S. adults have used ChatGPT for entertainment, learning, or work purposes.

• Opinions on ChatGPT's usefulness vary: about a third found it very useful, while a quarter considered it not useful.

_{Tags: #AI, #Big tech, #Startups, #GPT-4}

Read more about it at —> (read time: 12 minutes)

Insight:

The survey's findings offer a fascinating glimpse into the impact of artificial intelligence technologies, specifically in the form of ChatGPT, at a market level in the U.S. The high awareness yet low adoption of ChatGPT illustrates a crucial challenge for AI innovators: bridging the gap between awareness and usage. This gap could be due to several factors such as digital literacy, access, and perception of AI tools. It also highlights the importance of tailoring educational and promotional efforts to various demographics to encourage wider usage. Moreover, the mixed responses about ChatGPT's utility underscore the need to continuously improve AI technologies, ensuring they are reliable, accurate, and genuinely beneficial to users.

[3] Neuralink Leaps Forward: Musk's Brain-Implant Company Secures FDA Approval for Human Trials

Elon Musk's brain-implant firm, Neuralink, announced on Thursday that it has finally obtained approval from the US Food and Drug Administration (FDA) to commence its inaugural in-human clinical study. This is a crucial breakthrough for the company, which has previously encountered hurdles in obtaining approval for its innovative medical devices, designed to treat severe conditions such as paralysis and blindness.

More:

• Neuralink applied for FDA approval in early 2022, which was initially denied due to various concerns.

• FDA's primary concerns included the device's lithium battery, potential migration of implant wires within the brain, and safe extraction of the device.

• Despite the FDA approval, lawmakers are pushing regulators to investigate animal testing at Neuralink due to alleged rushed and botched experiments.

• Neuralink, while approved, has announced that it is not yet open for clinical trials.

_{Tags: #Neuralink, #Elon Musk, #Big tech, #AI, #Regulation, #Medical Devices}

Read more about it at —> (read time: 8 minutes)

Insight:

This significant step by Neuralink carries both a company and industry-wide impact. For Neuralink, FDA approval advances their cutting-edge technology closer to reality, underpinning Musk's ambitious plans to revolutionize neurotechnology. As an industry, this development sets a crucial precedent for other tech firms venturing into the intersection of AI and healthcare. However, we also see an increasing demand for rigorous regulatory oversight, especially regarding ethical concerns about animal and human testing. These complex dynamics underscore the challenges and opportunities the fast-evolving AI healthcare space presents.

[4] Microsoft Fights Back: Appeals UK Block on Activision Blizzard Acquisition

Microsoft has lodged an appeal against the UK Competition and Markets Authority's (CMA) opposition to its proposed takeover of Activision Blizzard, a leading game developer. The CMA raised concerns over stifled competition and cloud gaming innovation, despite 37 other jurisdictions approving the deal, including China most recently.

More:

• Microsoft's appeal was filed with the Competition Appeal Tribunal (CAT) against CMA's ruling.

• The U.S. Federal Trade Commission, while not explicitly blocking the deal, has filed a case on similar competition grounds.

• EU approved the takeover earlier, citing Microsoft wouldn't harm rival consoles and multi-game subscription services.

• Microsoft and Activision Blizzard criticized the CMA decision, with Microsoft accusing it of a flawed understanding of the market.

_{Tags: #Microsoft, #Big tech, #Regulation, #M&A, #Cloud, #Gaming}

Read more about it at —> (read time: 9 minutes)

Insight:

This recent development highlights the company level impact of Microsoft's ambitious acquisition plan of Activision Blizzard. The appeal against the UK's decision underlines Microsoft's determination and their strategic importance on this acquisition. From an industry-wide perspective, this tug-of-war between tech corporations and regulatory bodies reveals an ongoing struggle to balance market innovation with competitive fairness. Given the rising prominence of the cloud gaming market, the outcome of this appeal may set a critical precedent for future M&A activity in this industry sector.

[5] Twitter's Mid-Tier Leverage: $5,000/Month API for Budding Startups

Twitter has introduced a fresh API tier named Twitter API Pro, tailored specifically for startups at a monthly cost of $5,000. Developers subscribing to this tier can fetch 1 million tweets and post 300,000 tweets per month, besides access to the full archive search endpoint. This is part of the platform's move to bridge the gap between its basic and enterprise API tiers.

More:

• Twitter's Pro API tier was announced following demands for a mid-tier option from developers and founders.

• The new tier is situated between the basic tier at $100/month and the enterprise tier at $42,000/month.

• Despite this addition, concerns remain for businesses operating on tight budgets, given the yearly cost of $60,000.

• Twitter has yet to develop a solution catering to researchers and academics.

_{Tags: #Twitter, #API, #Startups, #Big tech}

Read more about it at —> (read time: 7 minutes)

Insight:

The introduction of Twitter's API Pro tier signals a company-level impact as Twitter diversifies its service offerings to cater to startups. It demonstrates how tech platforms can offer varied pricing tiers to reach different market segments. However, this development also highlights the challenges startups and businesses on tighter budgets face, suggesting a need for more affordable solutions within the industry. As the tech space evolves, balancing service offerings, customer needs, and financial constraints remains critical to sustainable growth.

⚡️Startup bites

Brief news summaries from the world of startups that provide quick and easy-to-consume information.

Alibaba refutes layoff claims, plans to hire 15,000 new recruits in 2023. (link)

OpenAI expands ChatGPT iOS app to 11 new markets amid regulatory uncertainties in Europe. (link)

Activision, Playtika, and Jam City discuss rising player acquisition costs, utilizing IP, and global market strategies amid mobile gaming growth. (link)

🔍 Extra

A mix of learning links, software products, deals, and other interesting content.

2023 and Beyond: Technological Evolution Redefining the Future

The pace of technology is accelerating, setting the stage for disruptive changes in 2023. Key trends include the ubiquity of AI across businesses, the advent of the metaverse, and the rise of blockchain-enabled Web3. Additionally, quantum computing, green technology, and advancements in robotics and autonomous systems will drive progress. Sustainability concerns and the ethical implications of these advancements underscore the need for responsible deployment.

More:

• Artificial intelligence will permeate every aspect of organizations, enabled by no-code AI platforms.

• The metaverse, enhanced by AR and VR technologies, is set to gain traction in 2023.

• Blockchain technology's evolution will encourage the advent of decentralized products and services.

• Digital twin technology will integrate the digital and physical worlds, fostering innovation in various sectors.

• Quantum computing, nanotechnology, and green tech advancements will redefine numerous fields, from cryptography to sustainable energy.

Read more about it at —> (read time: 9-10 minutes)