Key Points:
– Generative AI is creating a significant new market for major cloud providers.
– This shift is somewhat of a reset, differing from the container technology trend.
– Cloud providers are now offering AI as a service, with pre-trained models accessible via APIs.
– The AI models are large and complex, requiring substantial computational resources.
– Companies are investing heavily in AI, with Microsoft’s multi-billion dollar investment in OpenAI as an example.
– The AI market is still in its early stages, with potential for growth and new developments.

The IT industry is buzzing with the latest trend that’s reshaping the cloud market: generative AI. This isn’t just another tech fad; it’s a game-changer that’s creating a lucrative new niche for the big cloud players. But hold onto your hats, because this isn’t your average tech evolution like when containers came onto the scene. No, this is more like hitting the reset button on what we thought we knew about cloud services.

In this brave new world, cloud providers are dishing out AI as if it were a Netflix subscription. They’ve got these pre-trained AI models that are just a click away, accessible through APIs that even your grandma could use. But don’t be fooled by the simplicity of access; these AI models are like the digital equivalent of a Formula 1 car—sophisticated, powerful, and not exactly something you’d find in your average garage. They need a ton of computational oomph to run, which means only the big cloud companies with deep pockets and data centers the size of small countries can really play ball.

And play ball they are. Companies are throwing money at AI like it’s going out of style. Take Microsoft, for example, which has poured billions into OpenAI. They’re not just buying a stake in the company; they’re buying a stake in the future. It’s like betting on the internet in the ’90s or smartphones in the early 2000s. The AI market is still in diapers, but it’s growing up fast, and we’re likely to see some pretty incredible things coming out of it.

In summary, generative AI is the new kid on the block, and it’s turning heads in the cloud market. With cloud providers offering AI services that are both accessible and powerful, the industry is witnessing a significant shift. The investment in AI technologies, highlighted by Microsoft’s commitment to OpenAI, signals a strong belief in the potential of this market.

Now, for the hot take: Generative AI is not just a trend; it’s the dawn of a new era in cloud computing. The implications are vast, from the way we interact with technology to the new business opportunities it creates. For businesses looking to stay ahead of the curve, now is the time to explore AI services offered by cloud providers. Whether it’s enhancing customer experiences, streamlining operations, or creating entirely new products, the power of AI is at your fingertips. So, roll up your sleeves and get ready to harness the potential of generative AI—it might just be the smartest move you make this decade.

Original article: https://techcrunch.com/2023/11/28/aws-takes-the-cheap-shots/

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