Key phrases heard in the Mag7 Q3 conf calls: "compute starved", "significant backlog", "increasing capacity notably larger", "as fast as we can", "very aggressive".
You raised a point that is often overlooked: "I find the personalization experience to be amazing because i’m logged in, have a paid ChatGPT account and it remembers everything due to the memory feature."
I've found that experience on ChatGPT free vs paid versions to be quite different. When I was using the free version, there was a very small memory bank that was capped in the number of entries and I was forced to frequently prune memories so it would free up space for new ones.
With paid versions, I've found that there is a much greater memory quota (anecdotal reports suggest 10X-20X larger than free) without the need to free up space. Free version remembers a few basic facts but loses nuance quickly. The larger amount of memory with paid versions makes personalization feel more contextually intelligent. I agree that Jassy is unlikely to be using ChatGPT much and if he is, he's probably using the free version instead of the paid version, which may have shaped the response he gave.
Lastly, we have to remember that the vast majority of all LLM users are on the free version so features like broader memory and better personalization aren't as robust (for now, but I am sure they want to extend these features as widely as possible)
Thanks and agree with your point on free vs. paid. Most people on Amazon are paid (prime). ChatGPT FREE has two problems they will solve:
1. It's free and costs big $ and no revs - Agentic Commerce solves this
2. they are very very tight on inference capacity - they are building as fast as they can - this is why there are so many limits on free (and it incents you to upgrade -freemium as they say
I highly doubt Jassy is unaware of the bot traffic being blocked; that is too strategic of a move.
It was not blocked when ChatGPT Shopping was first there. When you read the science behind their product retrieval systems, it becomes clear that ChatGPT shopping sophistication is partly keyword-based. Rufus is well ahead of ChatGPT shopping at scale! Max Sinclair and I have a drop coming soon on this.
Scot - Fantastic roundup as usual.
You raised a point that is often overlooked: "I find the personalization experience to be amazing because i’m logged in, have a paid ChatGPT account and it remembers everything due to the memory feature."
I've found that experience on ChatGPT free vs paid versions to be quite different. When I was using the free version, there was a very small memory bank that was capped in the number of entries and I was forced to frequently prune memories so it would free up space for new ones.
With paid versions, I've found that there is a much greater memory quota (anecdotal reports suggest 10X-20X larger than free) without the need to free up space. Free version remembers a few basic facts but loses nuance quickly. The larger amount of memory with paid versions makes personalization feel more contextually intelligent. I agree that Jassy is unlikely to be using ChatGPT much and if he is, he's probably using the free version instead of the paid version, which may have shaped the response he gave.
Lastly, we have to remember that the vast majority of all LLM users are on the free version so features like broader memory and better personalization aren't as robust (for now, but I am sure they want to extend these features as widely as possible)
Thanks and agree with your point on free vs. paid. Most people on Amazon are paid (prime). ChatGPT FREE has two problems they will solve:
1. It's free and costs big $ and no revs - Agentic Commerce solves this
2. they are very very tight on inference capacity - they are building as fast as they can - this is why there are so many limits on free (and it incents you to upgrade -freemium as they say
I know, I was surprised to see that so fast! 💨
Here’s the first evidence of your thesis of Amazon and OpenAI frenemy relationship: https://www.aboutamazon.com/news/aws/aws-open-ai-workloads-compute-infrastructure
I highly doubt Jassy is unaware of the bot traffic being blocked; that is too strategic of a move.
It was not blocked when ChatGPT Shopping was first there. When you read the science behind their product retrieval systems, it becomes clear that ChatGPT shopping sophistication is partly keyword-based. Rufus is well ahead of ChatGPT shopping at scale! Max Sinclair and I have a drop coming soon on this.