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Investors Warn of ‘AI Washing’ as Startups Exaggerate Capabilities

AI Could Replace Most Coding Jobs, Warn Zoho Founder and OpenAI CEO

Welcome back to Outskill with AI! 🎉

What we’ll cover today

📝 Italian Newspaper Il Foglio Publishes World’s First AI-Generated Edition
📰 JuicyChat.AI Launches AI Girlfriend Chatbot!
📷 6 AI resources

What You Need to Know

Sridhar Vembu, Zoho founder, predicts AI will handle 90% of programming tasks, eliminating repetitive, boilerplate code.

Sam Altman, OpenAI CEO, agrees, stating AI will reduce the need for software engineers as half of the code is already written by AI.

⚡ Both agree that human expertise will still be crucial for complex, core programming challenges.

Why It Matters

AI is set to transform software engineering, automating routine coding tasks, but raising questions on the future of tech jobs and human roles in development.

What You Need to Know

Venture capitalists are concerned about AI washing, where startups falsely claim AI capabilities to attract funding.

Zoho founder Narayana Murthy and VCs warn that many startups are presenting traditional software as AI-driven, such as rule-based systems and manual processes.

Investors are increasing due diligence efforts to verify AI claims, including hiring AI/ML experts and conducting product tests.

Why It Matters

AI washing is becoming a significant issue in the startup world, forcing investors to spend more resources to validate AI claims and focus on true innovation.

AI Gossip 🚀

What are some ChatGPT prompts that feel illegal to know?

1-2-3 Resources

1 blog post you may like

  1. BLOG: Sam Altman Three Observations

2 Videos you should watch

  1. Top Minds in AI Explain What’s Coming After GPT-4o

  2. The Most Useful Thing AI Has Ever Done

3 Tools to try

  1. Guidde: Create how-to video guides quick and easy with AI.

  2. Runway: Runway is an applied research company building the next era of art, entertainment and human creativity.

  3. Rytr: Rytr's AI generates original and compelling content that sounds like you , not a robot.

Team Outskill