Episodes

  • OpenAI $6.6B Funding, U.S. AI Fed Guidelines, and United Airlines' Data-Driven Recovery Strategies

    OpenAI $6.6B Funding, U.S. AI Fed Guidelines, and United Airlines' Data-Driven Recovery Strategies
    Oct 3 2024
    OpenAI has raised $6.6 billion and secured a $4 billion revolving credit line, bringing its total liquidity to over $10 billion. Despite reporting substantial revenue growth, the company anticipates a $5 billion loss this year due to high GPU costs. OpenAI is also navigating leadership changes and considering a shift to a for-profit model while maintaining its non-profit segment. The episode highlights the competitive landscape, with OpenAI requesting investors to avoid funding rival AI startups, which could impact future fundraising for both OpenAI and its competitors.The episode also delves into a KPMG survey revealing that while nearly 75% of organizations see value in AI, only one-third have successfully scaled it into production. Concerns about the complexity of AI and its implications for jobs are prevalent among tech executives. KPMG emphasizes the need for strong governance and ethical AI policies to manage emerging risks, particularly with generative AI. Despite these challenges, 87% of survey respondents report increased profits from tech investments, underscoring the importance of not just adopting AI but effectively scaling it within organizations.In addition to AI funding and scaling challenges, the episode covers new guidelines issued by the White House for U.S. agencies regarding AI acquisition. The memorandum emphasizes risk management, competition, and information sharing, requiring agencies to promote competition and prevent vendor lock-in. The guidance aims to help agencies integrate AI responsibly while managing associated risks, highlighting the importance of ethical frameworks and rigorous reporting on AI tool usage. This development signals a shift in how government agencies will approach AI procurement, which could influence service providers' strategies.Finally, the episode examines United Airlines' effective recovery from a software outage caused by CrowdStrike, showcasing the critical role of real-time data in operational resilience. By leveraging cloud technology and enabling employees to access real-time data, United Airlines minimized flight cancellations compared to competitors during the disruption. This case study illustrates the importance of investing in incident recovery capabilities and highlights how organizations can gain a competitive advantage by prioritizing resilience in their operations. The discussion emphasizes that IT providers should position their services as essential components of resilient strategies, particularly in high-stakes industries where downtime can have severe consequences. Three things to know today00:00 OpenAI Raises $6.6 Billion, Secures $4 Billion Credit Line as KPMG Survey Shows Scaling AI Remains a Challenge04:50 White House Sets AI Acquisition Guidelines, Focusing on Risk Management and Vendor Flexibility for U.S. Agencies06:37 United Airlines Used Real-Time Data and Cloud Tech to Outperform Competitors in CrowdStrike Disruption Recovery Supported by: https://www.huntress.com/mspradio/http://blumira.com/radio/ Event: www.smbTechFest.com/Go/Sobel All our Sponsors: https://businessof.tech/sponsors/ Do you want the show on your podcast app or the written versions of the stories? Subscribe to the Business of Tech: https://www.businessof.tech/subscribe/Looking for a link from the stories? The entire script of the show, with links to articles, are posted in each story on https://www.businessof.tech/ Support the show on Patreon: https://patreon.com/mspradio/ Want our stuff? Cool Merch? Wear “Why Do We Care?” - Visit https://mspradio.myspreadshop.com Follow us on:LinkedIn: https://www.linkedin.com/company/28908079/YouTube: https://youtube.com/mspradio/Facebook: https://www.facebook.com/mspradionews/Instagram: https://www.instagram.com/mspradio/TikTok: https://www.tiktok.com/@businessoftechBluesky: https://bsky.app/profile/businessoftech.bsky.social
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    11 mins
  • Microsoft's AI Update, OpenAI's Voice API, LiquidAI's Models, Kaseya's FedRAMP Push

    Microsoft's AI Update, OpenAI's Voice API, LiquidAI's Models, Kaseya's FedRAMP Push
    Oct 2 2024
    The rollout of Windows 11 version 24H2 introduces a range of AI-powered features, such as enhanced Energy Saver, improved Bluetooth LE audio support, and Wi-Fi 7 compatibility. Notably, Microsoft has integrated Rust into the Windows kernel and introduced new functionalities for its CoPilot AI, which now includes natural voice interaction and daily news summarization. However, the update also marks the end of support for Windows Mixed Reality headsets, as Microsoft shifts its focus away from hardware in the mixed reality space.Host Dave Sobel highlights Microsoft's decision to cease production of the HoloLens 2 and its partnership with Meta, indicating a strategic pivot towards software integration with Meta's Quest headsets. This move reflects a broader trend in the tech industry, where companies are increasingly prioritizing AI-driven productivity tools. Sobel emphasizes the importance of data management for businesses looking to leverage these new AI capabilities effectively, suggesting that many customers may not be prepared to utilize these tools without a solid data foundation.The episode also covers OpenAI's introduction of a public beta for its Realtime API, which allows developers to create applications that facilitate natural conversations with AI chatbots. This new API supports low-latency, multimodal features, enhancing voice interactions and enabling seamless communication across languages. Additionally, Liquid AI has launched its Liquid Foundation Models, which are non-transformer AI models designed for improved performance and memory efficiency, potentially lowering infrastructure costs for clients running large-scale AI applications.Finally, Sobel discusses Kaseya's commitment to achieving FedRAMP authorization for its ITComplete platform, which aims to support managed service providers (MSPs) with compliance requirements. This initiative is particularly significant as it addresses the growing need for compliance in government contracts. The episode concludes with a call for IT solution providers to participate in Service Leadership's annual compensation survey, which aims to provide insights into compensation trends and help organizations optimize their recruitment strategies. Three things to know today 00:00 Windows 11 Update Brings AI Features as Microsoft Exits Mixed Reality Hardware with HoloLens05:05 OpenAI Expands Voice Integration with Realtime API, While Liquid AI Launches Efficient Non-Transformer Models07:10 Kaseya Aims for FedRAMP Authorization as Service Leadership Opens IT Compensation Survey Supported by: https://www.coreview.com/msphttps://mspradio.com/engage/ Event: www.smbTechFest.com/Go/Sobel All our Sponsors: https://businessof.tech/sponsors/ Do you want the show on your podcast app or the written versions of the stories? Subscribe to the Business of Tech: https://www.businessof.tech/subscribe/Looking for a link from the stories? The entire script of the show, with links to articles, are posted in each story on https://www.businessof.tech/ Support the show on Patreon: https://patreon.com/mspradio/ Want our stuff? Cool Merch? Wear “Why Do We Care?” - Visit https://mspradio.myspreadshop.com Follow us on:LinkedIn: https://www.linkedin.com/company/28908079/YouTube: https://youtube.com/mspradio/Facebook: https://www.facebook.com/mspradionews/Instagram: https://www.instagram.com/mspradio/TikTok: https://www.tiktok.com/@businessoftechBluesky: https://bsky.app/profile/businessoftech.bsky.social
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    11 mins
  • OpenAI Leadership Changes, Hugging Face Growth, Microsoft AI Adjustments, and Google Protocol Updates

    OpenAI Leadership Changes, Hugging Face Growth, Microsoft AI Adjustments, and Google Protocol Updates
    Oct 1 2024
    Mira Murati, the Chief Technology Officer, along with two other executives, announced their departures amid a critical restructuring phase for the company. As OpenAI transitions from a non-profit to a for-profit benefit corporation while seeking over $100 billion in investment, Sobel highlights the potential implications of these changes on the generative AI market, suggesting a possible consolidation as the industry grapples with high operational costs and limited use cases.Host Dave Sobel also examines the rapid growth of Hugging Face, which has surpassed 1 million AI model listings, emphasizing the shift towards customized models tailored for specific tasks. This trend reflects a broader industry movement away from one-size-fits-all solutions, as organizations increasingly seek specialized, fine-tuned models. The episode draws attention to Mark Zuckerberg's comments from the recent MetaConnect event, where he cautioned creators about the value of their work for AI training, hinting at ongoing copyright issues and the need for partnerships to secure valuable content.The discussion then shifts to Microsoft, which has made notable changes to its Copilot Plus feature and its approach to integrating AI into its 365 software suite. The company is now conducting pilot tests to assess customer willingness to pay for new AI features, reflecting concerns about the perceived value and effectiveness of these tools. Sobel emphasizes the importance of managing customer expectations around AI, noting that the benefits of such technologies may not always be immediately apparent, and overpromising can lead to dissatisfaction.Finally, Sobel covers Google's decision to phase out older protocols in Google Workspace, citing security risks associated with these outdated systems. He also highlights Microsoft's enhancements to Defender, which now includes automatic detection of unsecured Wi-Fi networks, and ConnectWise's commitment to high cybersecurity standards. The episode underscores the evolving landscape of IT service providers, where the focus is shifting towards practical AI applications with demonstrable ROI, as well as the critical need for robust cybersecurity measures in an increasingly complex digital environment. Three things to know today00:00 OpenAI Leadership Exodus and Hugging Face's Model Surge Point to Shift To Focused Solutions05:00 Microsoft Bolsters Copilot+ Recall Security While Scaling Back 365 AI Plans Amid Customer Concerns07:33 Google Phases Out Legacy Protocols as Microsoft Enhances Defender Supported by: https://getthread.com/mspradio/https://www.huntress.com/mspradio/ Event: www.smbTechFest.com/Go/Sobel All our Sponsors: https://businessof.tech/sponsors/ Do you want the show on your podcast app or the written versions of the stories? Subscribe to the Business of Tech: https://www.businessof.tech/subscribe/Looking for a link from the stories? The entire script of the show, with links to articles, are posted in each story on https://www.businessof.tech/ Support the show on Patreon: https://patreon.com/mspradio/ Want our stuff? Cool Merch? Wear “Why Do We Care?” - Visit https://mspradio.myspreadshop.com Follow us on:LinkedIn: https://www.linkedin.com/company/28908079/YouTube: https://youtube.com/mspradio/Facebook: https://www.facebook.com/mspradionews/Instagram: https://www.instagram.com/mspradio/TikTok: https://www.tiktok.com/@businessoftechBluesky: https://bsky.app/profile/businessoftech.bsky.social
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    12 mins
  • AI Budget Shifts, Cybersecurity Workforce Challenges, and Meta's AR Innovations

    AI Budget Shifts, Cybersecurity Workforce Challenges, and Meta's AR Innovations
    Sep 30 2024
    Host Dave Sobel discusses the evolving landscape of IT budgets, emphasizing a significant shift towards AI and data modernization. Accenture's recent earnings call reveals that enterprises are reallocating their IT spending to focus on enhancing digital capabilities and workforce upskilling, rather than increasing overall budgets. This trend is underscored by Gartner's forecast that AI-enabled PCs will dominate global shipments, particularly in the consumer market, indicating a growing reliance on AI technologies.The episode also highlights a concerning slowdown in the cybersecurity workforce, which has seen only a marginal increase in professionals despite a persistent shortage of nearly 5 million workers. Sobel points out that U.S. cybersecurity employment has shrunk by nearly 5%, as employers prioritize revenue-generating roles over cybersecurity positions. This disconnect between the skills sought by hiring managers and those perceived as necessary by applicants calls for more learning opportunities and a focus on recruiting diverse talent to address the skills gap.In regulatory news, California Governor Gavin Newsom vetoed a strict AI regulation bill, opting instead to collaborate with academics to develop alternative guidelines. This decision reflects the ongoing debate surrounding AI safety and regulation, with Newsom arguing against singling out large AI models. Additionally, the National Institute of Standards and Technology (NIST) has revised its password guidelines, shifting the focus from complexity to length, which aims to improve user experience and security practices.Finally, Sobel discusses Meta's recent announcements from their Connect event, particularly the unveiling of their Orion AR glasses. While the glasses showcase advanced features like eye tracking and muscle-reading technology, their high production cost means they won't be available for mass production anytime soon. Meta's commitment to innovation in spatial computing positions them as a leader in the industry, potentially paving the way for a new computing paradigm that integrates AI with real-world awareness. The episode concludes with a reflection on the importance of adapting to these technological advancements and the implications for the future of work. Three things to know today 00:00 AI and Data Take Priority as IT Budgets Shift, Cyber Workforce Slows, and Skill Shortages Persist Across Tech Sectors03:58 AI Regulation Vetoed in California as NIST Shifts Password Policy Focus from Complexity to Length05:42 Meta Leads Spatial Computing Race with Orion AR Glasses and AI Innovations, Highlighting Long-Term Industry Shift Supported by: https://www.huntress.com/mspradio/http://blumira.com/radio/ Event: www.smbTechFest.com/Go/Sobel All our Sponsors: https://businessof.tech/sponsors/ Do you want the show on your podcast app or the written versions of the stories? Subscribe to the Business of Tech: https://www.businessof.tech/subscribe/Looking for a link from the stories? The entire script of the show, with links to articles, are posted in each story on https://www.businessof.tech/ Support the show on Patreon: https://patreon.com/mspradio/ Want our stuff? Cool Merch? Wear “Why Do We Care?” - Visit https://mspradio.myspreadshop.com Follow us on:LinkedIn: https://www.linkedin.com/company/28908079/YouTube: https://youtube.com/mspradio/Facebook: https://www.facebook.com/mspradionews/Instagram: https://www.instagram.com/mspradio/TikTok: https://www.tiktok.com/@businessoftechBluesky: https://bsky.app/profile/businessoftech.bsky.social
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    11 mins
  • Cybersecurity Evolution: From Espionage to AI Threats & the Business of Protection with Eric ONeill

    Cybersecurity Evolution: From Espionage to AI Threats & the Business of Protection with Eric ONeill
    Sep 29 2024

    Host Dave Sobel engages in a compelling conversation with Eric O'Neill, a former FBI operative renowned for his role in capturing notorious spy Robert Hansen. The discussion delves into the evolution of espionage over the past two decades, highlighting how traditional spycraft has transitioned into the realm of cyber espionage. O'Neill explains that while classic methods like dead drops and clandestine meetings still exist, the majority of modern espionage is conducted through cyber attacks, where attackers exploit vulnerabilities in systems to gain access to sensitive information.

    O'Neill emphasizes the importance of understanding the changing landscape of threats, particularly the misconception that insider threats are the primary concern. He points out that attackers often create what he terms "virtual trust insiders" by stealing credentials and infiltrating organizations from the outside. This shift in tactics underscores the need for businesses to focus on robust cybersecurity measures, including better authentication practices and employee training to recognize phishing attempts.

    The conversation also touches on the complexities of the cybersecurity industry, where the balance between providing solutions and generating profit can create tension. O'Neill argues that while technology companies are developing products to combat cyber threats, the focus should also be on fundamental practices such as implementing multi-factor authentication and improving software quality. He advocates for a proactive approach to cybersecurity, encouraging organizations to adopt counterintelligence strategies to anticipate and thwart potential attacks before they occur.

    As the episode concludes, O'Neill discusses the future of cybersecurity in the context of artificial intelligence. He notes that both cybercriminals and cybersecurity professionals are increasingly leveraging AI, leading to a new battleground where AI systems will play a crucial role in detecting and responding to threats. This evolution presents both challenges and opportunities, as the fight against cyber threats becomes more sophisticated and complex, requiring continuous adaptation and vigilance from organizations and individuals alike.

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    21 mins
  • Exploring IT Service Models: Toolsmiths, Citizen AI, and the Future of MSPs with Howard Cohen

    Exploring IT Service Models: Toolsmiths, Citizen AI, and the Future of MSPs with Howard Cohen
    Sep 28 2024

    Host Dave Sobel engages in a thought-provoking discussion with Howard Cohen, a seasoned expert in the IT industry. They explore the evolving landscape of IT service providers, focusing on the emergence of the "toolsmith" model. This model emphasizes the importance of software developers and hardware manufacturers providing tools that enable partners to create and deliver profitable services, rather than merely reselling products. Howard highlights the shift from product sales to service-oriented models, which allows providers to enhance profitability and foster collaborative partnerships with software vendors.

    The conversation delves into the challenges faced by managed service providers (MSPs) in today's market, particularly the tension between reliance on vendor tools and the risks associated with vendor dependency. Howard draws an analogy between MSPs and carpenters, suggesting that while tools are essential for their work, the true value lies in how they utilize those tools to provide services. He argues that MSPs can leverage vendor tools to offer proactive services that improve customer relationships, rather than simply reacting to issues as they arise.

    As the discussion progresses, Howard introduces the concept of a post-verticalization era for technology service providers. He envisions a future where MSPs evolve into business technologists, emphasizing the need for specialization and collaboration among professionals. This shift would elevate the professionalism of IT service providers, akin to established fields like medicine and law. Howard advocates for a framework that establishes professional standards and ethics within the IT industry, ensuring that customers can differentiate between credible providers and those lacking the necessary qualifications.

    Finally, the episode touches on the implications of citizen AI and its potential to disrupt traditional IT roles. Howard discusses how citizen developers, empowered by low-code and no-code platforms, may reduce reliance on traditional information systems teams. While this democratization of technology presents opportunities, it also raises concerns about shadow IT and the need for IT professionals to adapt to a more dynamic landscape. The conversation concludes with a reflection on the future of AI in the industry, emphasizing the importance of practical applications and the need for IT professionals to remain vigilant in managing the evolving technological environment.

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    44 mins
  • N Korean IT Hires, Crowdstrike Testimony, AI Compliance, and Mobile Voting

    N Korean IT Hires, Crowdstrike Testimony, AI Compliance, and Mobile Voting
    Sep 27 2024
    We start with a troubling report revealing that numerous Fortune 100 companies have unknowingly hired North Korean IT workers using fake identities. These workers, often based in China or Russia, have gained access to sensitive systems, raising significant concerns about potential cyber attacks. The episode emphasizes the urgent need for companies to adopt stricter hiring practices, including thorough background checks and identity verification, as U.S. law enforcement takes action against those facilitating this scheme.The episode also covers CrowdStrike's recent testimony before Congress following a significant outage that was not attributed to a cyber attack. Senior Vice President Adam Myers explained that a combination of issues led to the incident, prompting the company to implement new safeguards and offer $60 million in customer credits. Lawmakers are pushing for greater accountability in cybersecurity, discussing potential legal reforms to hold software providers liable for negligence. This scrutiny reflects a pivotal moment in the cybersecurity landscape, where accountability and transparency are becoming increasingly essential.Additionally, the U.S. Department of Justice has updated its compliance guidelines to include the use of AI, emphasizing the need for companies to assess AI's potential risks and ensure compliance with criminal laws. Compliance officers are now expected to address AI's impact on legal compliance, highlighting the importance of proactive monitoring and risk management. The National Institute of Standards and Technology is also proposing new cybersecurity guidelines focused on identity proofing and fraud detection, urging organizations to adopt AI governance programs to enhance security.Finally, the episode touches on broader technological trends, including mobile voting and the quest for ROI on AI. Tech investor Bradley Tusk advocates for mobile voting as a means to increase voter turnout, while another article discusses the importance of breaking down enterprise silos to achieve meaningful returns on AI investments. The episode concludes with a look at the Content Authenticity Initiative led by Adobe, aimed at ensuring the authenticity of AI-generated content, and the unexpected outcomes of self-service kiosks in fast food chains, which have not led to significant job losses but have changed operational dynamics. Four things to know today 00:00 Fortune 100 Firms Unknowingly Hire North Korean Workers, Exposing Critical Gaps in Cybersecurity Hiring Practices03:14 Perfect Storm or Negligence? CrowdStrike's Outage Highlights Potential Shift in Cyber Liability04:58 "If Your AI Does the Crime, You’ll Do the Time": DoJ’s New Compliance Guidelines Target AI Risks08:07 From Mobile Voting to AI ROI: Big Ideas Driving Technology, Security, and Trust in the Digital Age Supported by: https://mspradio.com/engage/ Event: www.smbTechFest.com/Go/Sobel All our Sponsors: https://businessof.tech/sponsors/ Do you want the show on your podcast app or the written versions of the stories? Subscribe to the Business of Tech: https://www.businessof.tech/subscribe/Looking for a link from the stories? The entire script of the show, with links to articles, are posted in each story on https://www.businessof.tech/ Support the show on Patreon: https://patreon.com/mspradio/ Want our stuff? Cool Merch? Wear “Why Do We Care?” - Visit https://mspradio.myspreadshop.com Follow us on:LinkedIn: https://www.linkedin.com/company/28908079/YouTube: https://youtube.com/mspradio/Facebook: https://www.facebook.com/mspradionews/Instagram: https://www.instagram.com/mspradio/TikTok: https://www.tiktok.com/@businessoftechBluesky: https://bsky.app/profile/businessoftech.bsky.social
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    14 mins
  • AI in Business Growth, Wildfire Detection, Healthcare Innovations, and Nostalgic Windows Updates

    AI in Business Growth, Wildfire Detection, Healthcare Innovations, and Nostalgic Windows Updates
    Sep 26 2024
    Host Dave Sobel discusses the growing role of artificial intelligence (AI) in small businesses, highlighting a recent survey by the U.S. Chamber of Commerce. The survey reveals that 98% of small businesses are utilizing AI tools, with a notable increase in the adoption of generative AI. While many small business owners view AI as a crucial driver for growth, there are significant workforce concerns, with one in three workers advocating for a ban on AI in the workplace due to fears about job security. The episode emphasizes the need for balanced approaches that address both the potential benefits of AI and the anxieties it generates among employees.Sobel also explores innovative AI applications in various sectors, including wildfire detection, healthcare, and disaster response. Projects like Firesat and PanoAI are developing technologies to enhance early wildfire detection, while MyChart is using AI to assist doctors in managing patient communications. However, these advancements come with challenges, such as the need for long-term studies to evaluate effectiveness and concerns about transparency and accuracy in healthcare communications. The episode underscores the importance of responsible AI integration and the potential risks associated with its use in critical areas.The discussion extends to the implications of AI in cybersecurity, particularly the rise of generative AI being exploited by cybercriminals to create malware. Sobel highlights a recent incident involving an email campaign that targeted French users with malicious software, showcasing how lower-skilled hackers are leveraging AI to enhance their capabilities. This trend raises urgent questions about the need for comprehensive management and governance of AI technologies, as well as the expanding role of IT service providers in educating businesses about compliance and risk management.Finally, the episode touches on community-driven efforts to revive Windows Update for older operating systems, allowing users to update vintage systems like Windows 95 and XP with security fixes. While this initiative appeals to nostalgia, Sobel cautions that these unsupported systems pose significant security risks. The episode concludes with a call for IT service providers to help businesses navigate the complexities of AI and cybersecurity, emphasizing the critical need for clear policies, training, and responsible management as AI tools become increasingly prevalent in the business landscape.Four things to know today 00:00 Small Businesses See AI as Key to Growth, But Workforce Concerns Demand Balanced, Realistic Approaches 03:20 AI-Driven Innovations in Wildfire Detection, Healthcare, and Disaster Response Highlight Promise and Risks07:22 Cloudflare Tackles AI Data Scraping with New Tools and Marketplace for Content Control10:00 Nostalgia Meets Security: Community Efforts Restore Updates for Windows 95, 98, XP, and More Supported by: http://blumira.com/radio/https://www.huntress.com/mspradio/ Event: www.smbTechFest.com/Go/Sobel All our Sponsors: https://businessof.tech/sponsors/ Do you want the show on your podcast app or the written versions of the stories? Subscribe to the Business of Tech: https://www.businessof.tech/subscribe/Looking for a link from the stories? The entire script of the show, with links to articles, are posted in each story on https://www.businessof.tech/ Support the show on Patreon: https://patreon.com/mspradio/ Want our stuff? Cool Merch? Wear “Why Do We Care?” - Visit https://mspradio.myspreadshop.com Follow us on:LinkedIn: https://www.linkedin.com/company/28908079/YouTube: https://youtube.com/mspradio/Facebook: https://www.facebook.com/mspradionews/Instagram: https://www.instagram.com/mspradio/TikTok: https://www.tiktok.com/@businessoftechBluesky: https://bsky.app/profile/businessoftech.bsky.social
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    13 mins