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Nadella warns firms they pay AI labs twice
Microsoft CEO Satya Nadella wrote that firms pay proprietary AI models twice, in money and proprietary knowledge, and urged owning the learning loop instead.
In a July 12 post, Nadella argued AI inverts Kenneth Arrow’s information paradox: “the buyer risks giving away knowledge, just in order to use what they bought.” His fix is four-part: retain ownership of prompts and feedback, build proprietary learning environments, keep an orchestration layer that is not locked to one model, and compound the loop over time.
sources 2 cited
1 snscratchpad.com The reverse information paradox 2 finance.yahoo.com Microsoft CEO Satya Nadella says businesses 'pay for intelligence twice,' warns AI can cost companies proprietary knowledge