Continental Shift: Paris and London race to realise their (Gen)AI Dreams
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Continental Shift: Paris and London race to realise their (Gen)AI Dreams
In Europe, there are two serious contenders for the AI crown: France and the UK. But who will triumph?
Happy Friday, everyone…
The annals of history brim with tales of competition between France and the UK, from the Hundred Years' War to the Battle of Waterloo. Fast forward to today, and the old rivals find themselves locked in a new kind of contest – global AI supremacy. (I said this would get political, right?)
The UK’s AI Dream
This week, the UK is basking in the AI spotlight as it aspires to become a global AI powerhouse. Yet, across the Channel, France is crafting its own AI narrative.
Spearheading the UK's AI offensive is the GenAI firm Synthesia, where I'm also lucky to be an advisor.
This week, Synthesia ascended to the elite unicorn club, sporting a valuation of over $1 billion. NVIDIA's investment in Synthesia's Series C funding round is testament to the vision of its Co-Founders, Victor and Steffen, who had ‘crazy’ idea of creating AI-generated digital avatars back in 2017… (and well done to them.)
Synthesia’s extraordinary achievement is also a testament to UK's burgeoning relevance in the global AI industry.
This week, I also spent time at Founders Forum (the global entrepreneur network which includes 200 Unicorn founders) and London Tech Week. Unsurprisingly, AI took centre stage. Amid concerns about a faltering UK economy, there was palpable excitement around AI and a growing sentiment that the UK might be uniquely positioned to thrive.
Given the regulatory maelstrom in Europe and the laissez-faire approach in the US, the UK might just strike the 'Goldilocks' balance to become a beacon of ‘responsible AI’. British Prime Minister, Rishi Sunak, shared this sentiment at Tech Week, envisioning a nurturing environment for tech businesses to innovate and grow .
Douze Point A France?
Meanwhile, across the Channel, France is anything but idle. France has one of the largest AI talent pools in Europe. The French determination to lead in AI was clear at VivaTech 2023, one of the world's largest tech expos, hosted in Paris. Yesterday, French President Emmanuel Macron became the G7 leader to commit to AI, announcing a €500m fund to boost ‘AI champions.’
However, the road to ‘AI supremacy’ may not be smooth for France. This week, the EU moved a step closer to passing its AI Act, potentially erecting more regulatory hurdles for AI development and deployment. Although the legislation won't come into force until 2026, fears about it being too restrictive are already brewing.
Macron himself addressed this concern, cautioning:
"The worst scenario would be a Europe that invests much less than the Americans and the Chinese but starts by creating regulation. This scenario is possible, but it would not be the one I would support."
A Franco-British AI Axis?
While the EU's endeavour to establish the first transnational regulatory framework on AI is commendable, its impact on AI innovation remains to be seen. The potential regulatory complexity highlights an advantage for post-Brexit UK, free to nurture ‘responsible AI development’ without EU oversight. (It’s literally the Brexiteer’s wet dream!)
As one British AI luminary (also close to the UK government) succinctly told me, ‘The US is going to let it burn. The EU will regulate the s**** out of it, and the UK might just be in the sweet spot.’
The global AI narrative is shifting dramatically. It's no longer just a tale of the US and China. As Skype founder and tech investor Niklas Zennström opined this week:
“European tech can be the next superpower…There’s clear potential for Europe to create more value from tech than any other region in the world - but we as an industry rarely acknowledge this. Instead, we tend to overestimate the short-term potential of European tech, and underestimate the long-term. This leaves us in danger of failing to see the possibilities.”
Clearly, the battle for AI supremacy spans many fronts. I, for one, am excited to see how it unfolds.
Now, onto this week's major AI stories…
1. Synthesia: From Vision to Unicorn Status Source
Synthesia, a UK-based GenAI company specializing in synthetic media, just hit the coveted unicorn status, securing a $1 billion valuation in their latest funding round backed by NVIDIA. Pioneering the field of AI-generated digital avatars, Synthesia has transformed the concept of synthetic media from a 'crazy' idea to a mainstream reality. Their incredible success reiterates AI's potential in the UK's tech ecosystem.
2. Andreessen Horowitz Plants Roots in London (Source)
One of Silicon Valley's most prestigious venture capital firms, Andreessen Horowitz, has announced its first international office in London, which will serve as a Web3 and crypto hub. This strategic move comes due to increased regulatory scrutiny in the US, and marks the firm's growing interest in London's status as a ‘welcoming’ tech hub.
3. Meta Unveils Groundbreaking AI Model: I-JEPA (Source)
Meta (formerly Facebook) has revealed a new groundbreaking AI model, I-JEPA, designed by Yann LeCun and his team. I-JEPA, an abbreviation for "Inference-based Jointly-trained Encoder Pre-training Approach," introduces a new way to train AI systems, teaching them to understand and generate human-like text. The model can potentially advance our interactions with AI drastically, opening new frontiers in AI-generated content. Watch this space — Meta’s model game has been on fire recently.
4. EU Moves Closer to Passing AI Act Source
The European Union moved one step closer to passing its AI Act this week, potentially setting a global precedent in AI regulation. The proposed act is designed to regulate AI systems and ensure their compliance with EU standards of privacy, transparency, and fundamental rights. However, the act has sparked debates about whether the strict regulations may hinder innovation in AI within the EU.
5. French President Announces €500m Fund for AI at VivaTech 2023 Source
President Emmanuel Macron of France announced a €500m fund to support AI innovation at VivaTech 2023, one of the world's largest tech trade shows. The announcement underlines France's commitment to foster its AI ecosystem and compete on the global AI stage. Macron’s ambitious plan and warning about heavy EU regulation highlight the dynamic and complex nature of Europe's AI landscape.
That’s all in this week’s edition…
Namaste for now,
Nina
Continental Shift: Paris and London race to realise their (Gen)AI Dreams
Sure, not everything that was touched by a Eurocrat will grow wings and turn into a legislation with the "Brussels effect", but I would think that in the case of AI (just like privacy), the EU will set standards. It seems that it is simply to costly to develop different models for different jurisdictions and that the strictest regulatory regime will therefore set the baseline. Of course, you might say "companies will just leave the EU" and that may well be the case for certain use cases (some HR systems for example) but there is not indication that LLMs are not striving to become compliant with EU regulation.
I thought U.S was a Beacon of hope for nurturing the infant AI Industry , however, you reason it out as lagging cousin, behind Europe. You might be right, although I felt VC eco system not amicable, visible and risk taking type in that continent.