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#HelloWorld. In the midst of summer, the pace of significant AI legal and regulatory news has mercifully slackened. With room to breathe, this issue points the lens in a different direction, at some of our persistent AI-related obsessions and recurrent themes. Let\u2019s stay smart together. (<\/em>Subscribe to the mailing list<\/em><\/a>\u00a0to receive future issues.)<\/em><\/p>\n Stanford is on top of the foundation model evaluation game.<\/strong> Dedicated readers may have picked up on our love of the Stanford Center for Research on Foundation Models<\/a>. The Center\u2019s 2021 paper<\/a>, \u201cOn the Opportunities and Risks of Foundation Models,\u201d is long<\/em>, but it coined the term \u201cfoundation models\u201d to cover the new transformer LLM and diffusion image generator architectures dominating the headlines. The paper exhaustively examines these models\u2019 capabilities; underlying technologies; applications in medicine, law, and education; and potential social impacts. In a downpour of hype and speculation, the Center\u2019s empirical, fact-forward thinking provides welcome shelter.<\/p>\n Now, like techno-Britney Spears, the Center has done it again. (The AI Update\u2019s human writers can, like LLMs, generate dad jokes<\/a>.) With the European Parliament\u2019s mid-June adoption<\/a> of the EU AI Act (setting the stage for further negotiation), researchers at the Center asked this question<\/a>: To what extent would the current LLM and image-generation models be compliant with the EU AI Act\u2019s proposed regulatory rules for foundation models, mainly set out in Article 28? The answer: None right now. But open-source start-up Hugging Face\u2019s BLOOM model ranked highest under the Center\u2019s scoring system, getting 36 out of 48 total possible points. The scores of Google\u2019s PaLM 2, OpenAI\u2019s GPT-4, Stability.ai\u2019s Stable Diffusion, and Meta\u2019s LLaMA models, in contrast, all hovered in the 20s.<\/p>\n <\/p>\n How do you value training datasets? <\/strong>Much of the news these past two weeks has been about negotiations over data usage and payments. For instance, the Financial Times <\/em>reported<\/a> on June 17 that, in the last few months, major Big Tech AI players like OpenAI, Google, Microsoft, and Adobe have met with representatives of News Corp., The New York Times, The Guardian, and Axel Springer to discuss a \u201csubscription-style fee\u201d for using the news organizations\u2019 content to train generative AI models. These talks are still in the \u201cearly stages,\u201d but \u201cone number that had been discussed by the publishers is $5mm-20mm a year, according to an industry executive.\u201d<\/p>\n These early reported figures feel substantial\u2014especially when measured against streaming royalties in the music industry, where an artist probably needs around 10 million streaming plays on Spotify to generate only $50K. On the other hand, news content from The New York Times and other leading publishers is among the highest-quality text you can get to train an LLM, so one\u2019s conscience is hardly shocked at the sums reported. We\u2019ll keep close watch, since any agreed-to financial terms should provide important benchmarks for valuing training data in other cases. In general, if you\u2019re interested in developing a framework for data valuation, we recommend Data Leverage<\/em><\/a> by Christian Ward and James Ward\u2014especially chapter 5\u2019s discussion of four \u201cbuckets\u201d of data: a \u201c$0 Bucket,\u201d a \u201c$10K Bucket,\u201d a \u201c$100K Bucket,\u201d and a \u201c$1M+ Bucket.\u201d<\/p>\n Section 230\u2019s outer boundaries. <\/strong>It wouldn\u2019t be an AI Update without Section 230 popping in to say hello. Past issues<\/a> have spotlighted the ongoing debate over whether this online safe harbor immunizes synthetic content generated by LLMs and foundation models, or should be adapted to provide that protection. On June 14, Senators Richard Blumenthal (D-CT) and Josh Hawley (R-MO) introduced a bill<\/a> whose title tells you most of what you need to know about their stance: the \u201cNo Section 230 Immunity for AI Act.\u201d In this Congress, the chances that any bill will be enacted\u2014let alone one addressing a niche subject matter\u2014remain low. But the bill, from two of Capitol Hill\u2019s loudest voices on the subject, does send a strong signal that confirming (or extending) Section 230 protection for generative AI outputs will be no small task.<\/p>\n Umm, we\u2019re not sure we\u2019d<\/em> be human under this test<\/strong>. Finally, we couldn\u2019t help but smile at Business Insider<\/em>\u2019s June 20 report<\/a> that Mustafa Suleyman, co-founder of DeepMind, the British AI company famous for its world-champion-beating AlphaGo program, offered a new way to discern between human and artificial intelligence. The Turing test<\/a> from the 1950s was the originally proposed assessment but now is widely considered outdated. Hilariously, Suleyman suggests \u201ca new Turing test in which\u201d the AI \u201creceives a $100,000 seed investment and has to turn it into $1 million.\u201d God speed to you on your quest, GPT-5, but if you\u2019re like us real humans here at The AI Update, you may want to start prepping law school applications as a fallback.<\/p>\n What should <\/em>we be following?<\/strong> Have suggestions for legal topics to cover in future editions? Please send them to AI-Update@duanemorris.com<\/a>. We\u2019d love to hear from you and continue the conversation.<\/p>\n Editor-in-Chief<\/em><\/strong>: <\/strong>Alex Goranin<\/a><\/p>\n Deputy Editors<\/em><\/strong>:<\/strong> Matt Mousley<\/a> and Tyler Marandola<\/a><\/p>\n Subscribe to the mailing list<\/em><\/a> to receive future issues.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":" #HelloWorld. In the midst of summer, the pace of significant AI legal and regulatory news has mercifully slackened. With room to breathe, this issue points the lens in a different direction, at some of our persistent AI-related obsessions and recurrent themes. Let\u2019s stay smart together. (Subscribe to the mailing list\u00a0to receive future issues.) Stanford is … <\/p>\n Continue reading “The AI Update | June 29, 2023”<\/span><\/a><\/p>\n","protected":false},"author":6,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[15,19,30,16,31,32,13,33,17],"ppma_author":[5],"class_list":["post-122","post","type-post","status-publish","format-standard","hentry","category-general","tag-alex-goranin","tag-intellectual-property-litigation","tag-llm","tag-matt-mousley","tag-openai","tag-section230","tag-theaiupdate","tag-turingtest","tag-tylermarandola"],"authors":[{"term_id":5,"user_id":6,"is_guest":0,"slug":"duanemorris3","display_name":"Duane Morris","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/843ff6e7a8fe5fc92109b47a45f34b6cf0ea499e6e788db23456c838b0ae6747?s=96&d=blank&r=g","author_category":"1","last_name":"Sullivan","first_name":"Margaret","job_title":"","user_url":"http:\/\/www.duanemorris.com","description":"Visit the Duane Morris website.<\/a>"}],"_links":{"self":[{"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/posts\/122","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/comments?post=122"}],"version-history":[{"count":0,"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/posts\/122\/revisions"}],"wp:attachment":[{"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/media?parent=122"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/categories?post=122"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/tags?post=122"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/artificialintelligence\/wp-json\/wp\/v2\/ppma_author?post=122"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}