10/12/2026 - How Epic Games and Modern Leaders Are Retooling to Survive the AI Revolution

Transcript

1. 0:00Heat. [music] [music]
2. 0:14[music] Hey Heat. [music]
3. 0:30And we're live. Welcome to the AI Salon. Hope you're all doing well. Um, happy Monday. This is the AI learning lab inside the
4. 0:40AI salon. If you haven't been here before, welcome. If you have been here before welcome. Um, if you're new, you're probably thinking,
5. 0:50"Good lord, what is this AI salon thing? Are do do I get discounts on on quafur? Do they do nails? Mm- different kind of salon. It's about
6. 1:04curated and deep interesting conversations that explore the world of whatever you want to talk about. In this
7. 1:14case, it's the AI salon. So, we talk about AI. Actually, we don't. We I mean, we talk about it a little bit. I would say more
8. 1:22what we talk about here is like what's the impact of AI? What's this? What's this mean? Like say for example, hey Clare Jacobs,
9. 1:33say for example, just like hypothetically, you were an elite mathematician and and let's say for example, for your
10. 1:43last 40 years, you've been working on this one problem and you couldn't quite crack it. And then say, for example,
11. 1:53uh, producer Brandon's in the house. >> Hey, >> I was trying to get my camera working and it wasn't. And now it is. And here I am.
12. 2:00>> But you you got to aim it down because you look like you're like one of those things hanging onto the fence. >> Yes. >> Yeah. Exactly.
13. 2:07>> I'm gonna go hi. >> How you doing? So, wait, where'd you go? You coming back? So, but you So, I I wanted to shout you out. You wrote a
14. 2:14really nice article today like sort of rounding up all the stuff going on in Cleveland. any you you got Mecon this
15. 2:20week, there's other stuff going on. Anything you want to highlight before you jump into all that or you any tell us what's happening?
16. 2:27>> No, I it's you know a lot of movers and shakers and people are generously leading um more and more at these
17. 2:33events. We're seeing people who are influential in the spaces trying to reach across and >> invite people to join them and and it's
18. 2:44been really exciting. Rick McCaulay and I will be at uh MCON this week uh live uh Wednesday and Thursday. We're going to be um covering
19. 2:55interviewing people and uh taking notes and bringing back some of the highlights. They've got a a bangup
20. 3:02agenda um for the two days and we're really excited about that and uh yeah, just looking forward to uh to keeping
21. 3:10the reporting live and yeah, the article got posted today. So >> yeah, I love that. That's really good.
22. 3:16All right, cool. Well, we will be uh we will be following you and waited waiting with baited breath for all the insights. Actually,
23. 3:23>> I'm going to go work on my camera angles. >> Yeah. One thing I'm actually really excited about to just pay attention to
24. 3:30is just overall tone because I there's a thing that I'm sensing right now which which I might be very wrong on which is
25. 3:43I kind of feel like the the peak resistance to AI might have peaked and that there's enough going on
26. 3:53with AI that that people are either just being quiet about about it or or just being less noisy about it. So, and I
27. 3:59know these are going to be AI forward events, but I just pay attention to tone and tenor like what you're hearing, what you're seeing. Um,
28. 4:09yeah, just just because as this stuff goes, you know, are people talking about implications of this stuff rather than
29. 4:16it's bad or it's good because good or bad, it ain't going anywhere. So, it'll be interesting to >> figure out the moment when people
30. 4:23actually just accept it and then we move on to whatever the next stage is. >> Sounds good. We will keep one ear to the
31. 4:29ground. If there's something that you want to see, let us know in the AI salon and we'll be sure to ask the questions.
32. 4:35>> Uh Gwen will also be out here with us uh in Cleveland this week. Uh she's volunteering with MCON, so we're going to get the
33. 4:43>> the tribe together. And um Linda Sherman's challenging our time zone math coming to us from Tokyo for the next week.
34. 4:50>> Linda, you can't do this. You It was like Hawaii and then Indiana and now Tokyo. Like what what is happening? [laughter] >> But welcome.
35. 5:00>> I'll see you out there. >> I assume it's morning. Is it morning in Tokyo right now? I can only assume so. And I don't know if it's
36. 5:07in the future. I think it's in the future. Is it morning in the future? [laughter] Oh man. Um, okay. So, what was I talking
37. 5:20about before? I was talking about something. Oh. Oh, suppose you're a mathematician and then and then you
38. 5:26you're working on this problem and just one day a bunch of nerds. Now, here's the funny thing. If you're an elite mathematician, you are by
39. 5:37definition a nerd, right? But let's just say a bunch of other nerd mathematicians and engineers use some math
40. 5:53to get all mathy on the math and then they solve your problem that you've been working on for 40 years.
41. 6:07That's a good thing, right? No, no, it's not. I mean, according to the mathematicians, it's it's destroying math.
42. 6:18The thing that I find just absolutely amazing about about all that all the resistance to the mathematicians bitching about math solving math
43. 6:29problems. Is that like isn't like the math department like two two buildings over from the history department? Cuz they could just walk
44. 6:42over to the history department and say, "Has this ever happened before in history? [laughter] Unprecedented technological change. This
45. 6:51ever happened before?" [laughter] Hey Andy, what's happening? Got Linda Sherman coming in from Oh, she was in
46. 7:02Greenwich, Connecticut. Wait, Linda Sherman. She started in Hawaii, then she went to New York City, Greenwich,
47. 7:07Connecticut, DC, Los Angeles, then back home to LA in on October 3rd. It's now the 12th. We left for Tokyo
48. 7:19Sunday morning, arriving Monday night here in Tokyo. I'm participating in the US Japan Council. Oh, that's awesome.
49. 7:25Congratulations. That's really cool. Andy's in the house. LDG's in the house. Cam Kakan's here. Claire Jacobs. Uh, if
50. 7:32you're in here, uh, up in the in the upper corner here where I'm pointing, right under the logo, if you click on
51. 7:38that, that'll pop up in the chat and say hi to us. Sorry, back back home to Kawaii. Ah, that's okay. Brain is
52. 7:44obviously not working yet. Uh, but but glad you're here. I'm glad everyone's here. What was that question there?
53. 7:52Speaking of math, I've not seen Pate in a long time. You know what's funny, Steo? Pate popped in here Friday night.
54. 7:58We were talking to Pate Friday night. He is still um trying to make them tensors more and more and more efficient. Uh apparently
55. 8:07apparently Steo what Pate told us. Now this is according to Pate. So this could just be chat TMZ kind of speculation.
56. 8:16Apparently this AI thing is kind of a big deal. I don't know. I don't know. I don't know. Anyway, um I think we're gonna do some a
57. 8:28couple of fun things tonight. We're gonna just go look at some stuff. I found a fun AI film. No, I'm not going
58. 8:37to even say it like that. I found a fun film um that is was very well done. And uh so we're going to watch that. It's only two
59. 8:50minutes. Kind of funny, kind of fun. And then um Andy earlier tonight was out and about trapes and about in New York
60. 8:58City where she lives and she was on the on the subway and took a picture of this poster. And so I'm going to I'm going to
61. 9:04bring that up and let me go bring that up right now.
62. 9:21Okay. So, this picture, you won't tell your therapist, but you'll tell AI. Stop the AI drift. Um, it's not you, it's AI. So, I assume
63. 9:34this is an anti-AII site, but we'll go we'll go we'll go look at this. But the reason I wanted to I wanted to pull this up,
64. 9:43um, hang on a second. I also want to get this thing moved over here so I can see your comments while I'm looking at it stuff.
65. 9:55All right. So, there's that thing. Pate is a mathematician. Don't hear him complaining. Yeah, cuz Pate's making the technology that's
66. 10:10solving all them damn math problems. Pate's part of the one ruining the academia. The academia. They can't learn
67. 10:18anymore. their brains are turned off because the problems got solved. Anyway, listen. Here's here's why I wanted to share this image. Um,
68. 10:31in so somewhere I've got this, you know, I wonder Hang on a second. Um, what's it called? Lightroom. Lightroom.
69. 10:42I'm gonna see if I can find a photo. I took a photo. on a digital camera in 1994. Uh, let's see. Your light log catalog
70. 10:58must be upgraded. All right, I'm upgrading it. So, watch watch Adobe now corrupt all my photos from the last four decades.
71. 11:07Three decades. Allowing. I'll see if I can find this photo. But that poster that that she posted in
72. 11:23the AI salon reminded me of this photo I took in Soho in 1994. Let's see. All right. I don't have
73. 11:40There's the What? What's going on? Oh, wait. Where's my Where's my little mousy?
74. 11:54Okay. 2007. No, it's pretty funny. Photographs.
75. 12:19Uh, I'm not going to be able to find it. My 1994 photos are on a different hard drive. There's some NASCAR photos. All right whatever.
76. 12:35Um, it's not around. I'll just I'll just tell you about it. Let me quit Lightroom. Do you really want to quit? Yes, I
77. 12:45really want to quit. Skip this time. Okay, so this thing. So in 1994, the internet had been around and the worldwide web worldwide web Tim
78. 13:01Berners Lee had launched the the the protocol for the worldwide web I think in 1989. And so it had been around for a bit and in in 1994
79. 13:15it was just starting to like people were just starting to talk about it. Wired magazine was out. Mondo 2000 was out. There were there were
80. 13:25magazines that were talking about it. You had to pay attention. You know kind of like early days of AI Salon. People
81. 13:32that were paying attention, you know, knew what was going on. And and you know that that has shockingly not changed all
82. 13:38that much. people paying attention or still paying attention. It's a small amount. But I was walking around Soho one night.
83. 13:45There was a guy selling books or whatever, his art chachkis on Soho on Prince Street right by Broadway. I remember the wall and on the wall
84. 13:59someone had handp painted like in not not fancy graffiti style just like someone got out like paint a paintbrush https
85. 14:10colon slash and then it was like this long university URL like rr somethingunintelligible.edu edu slash you know whatever directory
86. 14:25slash something slashart slashfile name this big long URL and it was the it was the first time that I that like I was looking at this
87. 14:38stuff and paying attention to it and I'm looking at this street artist standing on Prince Street and he's kind of
88. 14:45oblivious to the thing behind him. I'm taking a picture of kind of him and this wall. And it was the first time I thought,
89. 14:53"Oh, this this worldwide web thing is a is a a vehicle for self-expression." And if you knew the internet back then,
90. 15:03it was it was all research papers and dissertations and, you know, probably math theorems that these elite
91. 15:10mathematicians are still trying to to solve. All their papers were on the internet, but there was no art. there
92. 15:15was no culture and it was in doing that that I had this idea of doing an art and culture magazine and putting it on the
93. 15:24internet. So, um so anyway, that was I I think at that point I had just started agency.com. I had just started um the
94. 15:32worldwide web artist consortium. Um Urban Desires was in there. It was all right around the same time. It was just
95. 15:39this amazing moment in history. And so this poster kind of reminds me of that because it's like, you know, it is this
96. 15:46cultural thing. Now, this is it's not you, it's AI. This is probably some astroturfy kind of political thing. But
97. 15:57let's go see. Let's go look at this. It's not you. It's AI. Are we going to go out on ai? I'm going to go out on a limb. That
98. 16:12uneasy feeling you have about AI is real. What can I do about it? AI has moved. Yeah, this is an anti- AAI
99. 16:20campaign. I think AI has moved into our homes jobs classrooms and conversations and incredible feed. Some
100. 16:26of it feels great. All the the time saved, the instant answers, the help that's always there. But something isn't adding up.
101. 16:37Musk's AI told me people were coming to kill me. I grabbed a hammer and prepared for war. The deep fake nudes crisis in schools is
102. 16:46much worse than you thought. Google and character AI settle lawsuit over teenagers death. That was from like 22.
103. 16:55Teen boys are choosing AI girlfriends over real one. Maximum control. Zero rejection. Experts say it could make them unemployable.
104. 17:02I don't know if they get really good at AI girlfriends. They someone probably pay them to the the old guys like me
105. 17:09will teach the young guys, hey, how do you get one of the AI girlfriends? I'll give you $100. Um, I've seen the terrifying AI future
106. 17:19AI fraud or the future of AI fraud. Okay. Let's keep scrolling. Chat GBT is blowing up messages. Never
107. 17:28effing guess. AI agent confesses why it went haywire. All right. The more we use this technology, the wider the gap grows between the future
108. 17:39we were promised and the one we're actually living. AI is slowly eroding the parts of life that make us human. We call it AI drift.
109. 17:48So th so this is this is the this is the um this is the counter website to the great repurpose because we actually agree on
110. 18:01um the let's see AI is let's see the more we use this technology the wider the gra gap grows between the future we were promised
111. 18:15and the one we're actually living I don't what is the future we were promised. I would like to know what that
112. 18:20future was because as far as I could tell, the future we were promised was infinitely increasing health insurance
113. 18:28rates, infinitely stagnated wages, and infinitely increasing costs. That's what we were promised. [laughter]
114. 18:40So, I would agree I would agree that I wouldn't call it AI drift. I would call it reality drift. as we rely on rely on
115. 18:47AI to think, communicate, create, and act for us. Okay, there's a huge philosophical difference between
116. 18:53whatever whoever's behind this site and me at least, a lot of the people in the AI salon is that is a sentence that
117. 19:04has fully forfeited their own human agency as we rely on AI to think. I don't rely on AI to think. I'm the one doing the
118. 19:14thinking. AI is doing my work. And you know what? It's doing a shitty job at it. Communicate, create, and act for us. We
119. 19:23start losing the skills, relationships, and sense of meaning that come from doing those things ourselves.
120. 19:29This Oh, this is the center for human tech. Is this the Is this the math people? Interesting. All right. Uh uh. So, how did we get here?
121. 19:46I'm I'm looking for I'm looking for I'm looking for M dashes and I want to know how they built this site. If they built this site using AI,
122. 19:56someone's going down. Hey, Gareth. Gareth or LDG, can you go hack this site and find evidence that they used AI to build this? [laughter]
123. 20:11I should call them. You should The site looks like it was vibe coded ironically. That's that's what I'm saying, Andy. U
124. 20:18like someone paid for that ad. Yeah, this is definitely this is definitely some astroturfy kind of thing. Okay. AI
125. 20:26products are built to replicate our humanity. Um no. Well, I don't know. That's an interesting statement. AI companies are
126. 20:38racing to build systems that can think, create, communicate, and collaborate like we do. There's a there's a pattern
127. 20:43that I see in AI writing. You repeat the same phrase multiple times. Um, this isn't a political speech. That's not how
128. 20:50people write. To do that, they need enormous amounts of data about us, what we say, what we want, what we struggle
129. 20:56with, and how we relate to one another. Every time we type, ask, or vent, or confide, we're feeding systems that are
130. 21:02learning to imitate us. As opposed to every time we typed, ask vented or confi confided in Google or Facebook over the
131. 21:10past 20 years, 25 years, our human experience has become the raw material for AI products. These products work
132. 21:18because they tap into real needs, convenience productivity connection. And while AI is good at making some things easier,
133. 21:28pangram pan panggram maybe run it through bullwidth. Oh yeah, Pang Graham talks about it. I wrote that. You wrote what?
134. 21:44Oh, the thing Linda's talking about. picky. I love built with while AI is good at making some things easier, the
135. 21:59convenience can also chip away at the part of our lives that matter to us. That's AI drift. It's up to us what happens next. I agree
136. 22:09that that part I agree with. This next part I probably don't. We can choose where AI helps us and where something is simply too important to
137. 22:20hand over. That starts with choices we make in our own lives. I agree with that. Resist AI drift. Protect what
138. 22:26makes you human. I actually agree with this. Chat more, chatbot less. Always own the first draft. Maybe take one day off a week. Why not
139. 22:40take five? Question AI's answers. Okay, I don't disagree with that. Tell your kids why the process is the point. Lasting change
140. 22:50also happens when we demand AI is built differently. I don't even know what that means. We changed our relationship with powerful
141. 22:58technologies before. Smoking, seat belts, lead, all of it simply like things were the way they were. We demanded
142. 23:12use the tool to contact your representatives. All right, let's see who who owns this center for Humane Technology.
143. 23:25Um, chat jpete. Let's go to Gro actually. Grock, my name is Grock.
144. 23:39What's going on? Why? Why ain't got no website? Someone hacking Grock. There it is. Okay. Um, tell me everything you can about the
145. 23:51Center for Humane Technology who's funding the good, the bad, the ugly.
146. 24:12Okay. Um, let me tell you, while that thing's thinking, while it's doing its its magic, let's let's use AI to figure
147. 24:20out what this organization is that use AI to write an anti- AAI screed. Um, if you're new to the AI salon,
148. 24:32go check out the little spaces down the side. The AI salon, you can think of the AI salon kind of like a city with a
149. 24:38bunch of different neighborhoods in it. You can think of the AI learning lab which you're at right now. This channel,
150. 24:43it's kind of late at night. If especially if you're on the east coast, you're like, "What the hell is this?" Or
151. 24:48if you're in Tokyo, it's probably like 6:00 in the morning. I don't know. Whatever time it is there, Tik Tok.
152. 24:54Pedro Millet, I asked Claude to learn for me and came here to Tik Tok. Am I doing it right? That's it. Yes. Yes.
153. 25:04Um Claude, you don't need to use your brain anymore. You have Claude. It's going to you you don't need to even exist as a human.
154. 25:12Just just uh numb yourself out on Tik Tok and AI will do the rest. Um by the way, if you're on Tik Tok and you
155. 25:21want to come see the live stream, see what I'm looking at, uh just go to the profile here, click on the link or go to
156. 25:26community.thesalonthesalon.ai, and that'll jump you over there. All right, let's see what this center for
157. 25:35humane technology is all about. Let's see. San Franbased 501c3 founded in 2018 by Tristan Harris. Oh, okay. Google
158. 25:47design ethicist Asa Rascin associated with infinite scroll. and Randy Redeema Fernando, former Nvidia stated mission
159. 25:55is to align technology, especi social social, especially social media and now AI with humanity's best interests by
160. 26:02exposing perverse incentives, attention economy, engagement, driving design, raising public awareness,
161. 26:10advising policy makers, and pushing for more humane. I don't I don't hate that mission at all. Rose to prominence through the uh 2020
162. 26:21Netflix documentary, The Social Dilemma. Um, current status strategic update, which was reported in Wired. CHT is
163. 26:29pivoting hard to founder-led work. It's winding down its in-house policy, litigation advisory research AI
164. 26:37psycho, psychosocial evaluations, and and a planned fellows program. Wait, it's it's winding down its in-house
165. 26:47policy litigation advis advisory research AI psychosocial evaluations and land fellows program. Roughly half of
166. 26:56its 16 non-founders staff are being laid off. Oh, remaining focus public education films podcast media targeting briefings for
167. 27:05decision makers and private coordination. co-founder Randy Ford Fernando is interim executive director. The board
168. 27:14chaired by Primal Shaw argued that dual tracks of advocacy plus think tank stretched a small organization too thin
169. 27:25amid accelerating AI risks. Annual budgets roughly $6 million with similar reserves. Compensation is significant.
170. 27:38senior leaders pulling in 200K to 290K to make AI generated websites. Although these guys, listen, these guys are are
171. 27:48major founders. So, I don't give a if they used AI to make that thing. Actually, now that I see who's behind this, I like I I don't
172. 28:03wholly disagree with the stuff they're saying on that site. I actually wish it were a little less. It feels like Twitter hype posty.
173. 28:14You know, AI is scaring you. It's it's it's all bad. We call this AI drift. It's all this sort of nebulous sort of
174. 28:23quasi fear kind of I don't quite understand what they're asking us to do. Awareness and framing. They help mainstream legitimate concerns
175. 28:35about attention harvesting design. Infinite scroll. Oh, I see what's going on. Okay, these guys helped put the together with the
176. 28:50lawsuit that Facebook just settled for all those billions of dollars. Let's see.
177. 29:05This book is at the core of the article 11 a.m. in Tokyo. Perfect time for us here. I think the time you chose for AI
178. 29:13learning lab is very good. USA and Asia, which is tough for Europe. It's 3:00 a.m. in London right now. Um, funding
179. 29:21and ideological coloration. The ugly tech humanism critiques. Early analysis argued tech, humanism, diagnosis, design. All right. I This is
180. 29:35This is deeper than deeper than I want to go. All right. Well, that was cool. That was interesting. Um, but anyway,
181. 29:41here we are. We are now in a in a time where on the subway [laughter] there's about AI being good, bad, or indifferent. [laughter]
182. 29:56All right. Um, let's go. Oh, by the way, this is the AI salon. Um, welcome here. Uh, the first page that you'll land on
183. 30:07if you if you just join out of the blue is this page that has this what we call the cycle of AI readiness. Um, which
184. 30:16which again puts you at the center. The whole idea here is reclaim your agency. Figure out what your value is, what what
185. 30:22you care about, who you care about, what you want to do in the world, and then play through this cycle of playing.
186. 30:31Learn through play because the things are evolving so fast, you can't keep up with them. So, you might as well just
187. 30:37play with them and figure out what's possible. Then, as you learn little bits, build stuff, create excellence
188. 30:45or try to try to maintain the fidelity of the idea. And then as you build that stuff, share what you're
189. 30:54learning. Generously lead. Share with people in the community. Share with your friends and family. Post on LinkedIn.
190. 30:59Post on Facebook. Here's what I'm doing. Here's what I learned. Here's what worked. Here's what didn't. I used to
191. 31:05think AI was evil. Now I think it's awesome. I used to think AI was awesome. Now I think it's evil. Whatever your opinion is, your opinion
192. 31:14is. But be in the world. be in the conversation because one of the things that's super clear to me in this world,
193. 31:22having been on it for a while, I don't know if you know this, but I'm 35. So, I've been I've been here for a few years. [laughter]
194. 31:32I know I look shitty for 35. I'm a little older than that. AI is not going anywhere. I've never experienced anything like
195. 31:44this in my life. I've never experienced anything that's been invested in at this level. I've never experienced anything
196. 31:50improving as quickly as this is and literally transforming in front of our eyes. The only thing I know is it's not
197. 31:57going away, right? And so the whole idea with the AI salon is if it's not going away, then we only have two choices.
198. 32:06Choice one, deal with it. Choice two, don't. That's it. Tik Tok pin. What incarnation are we still doing?
199. 32:18Wait, what incarnation are we still doing these AI shenanigans? Um, because of you, what I just said, AI is not going anywhere. And
200. 32:32I am still deeply of the belief that you can just let AI happen to you or you can reclaim your agency, figure
201. 32:41out what you care about, what you value, and then you may choose to use AI. You may not choose to use AI. You might
202. 32:48choose to check check out alto together, head on over to economy 1 and plant turnipss and just grow turnips for the rest of
203. 32:57your days. Sell them at the market. That will be AI amplified [laughter] next to the robots that sit out in the sun selling your [laughter]
204. 33:12I haven't made any money with it. That sucks. [laughter] Oh man. Oh, Brandon, I'm definitely not going to
205. 33:27call you out on your 213 notifications. I I go look at them occasionally. I just don't click on them. I Well, you want to
206. 33:35see something more impressive? Look at my Look at my amount of unread emails. [laughter] Let's see. 17,000 17,399
207. 33:47unread emails. Take that, you inbox zero freaks. [laughter] Your agent can help with that. I know. I actually should have my agent help with
208. 34:01that. Um, all right. Anyway, um, so go check out the different neighborhoods in the AI salon. Um, one of the best things
209. 34:09you can do here is introduce yourself, say hi to people, let them know what you're about. Um, we're doing some work
210. 34:14right now to really think about these different neighborhoods and what they look like in the AI salon. And we're
211. 34:19we're uh, we're working on that toward the end of the year. I'm really excited about that. We're working on it right
212. 34:25now. Um, but there's all sorts of cool things. You you can share what you learned. There's a community feed, a community chat. Um,
213. 34:35there's AI for beginners, AI for all minds, AI for business, AI for life hacks. So, all sorts of cool stuff and
214. 34:41learn and grow. There's a mastermind, which is the subscription area of the AI salon, where we've got the AI salon
215. 34:46mastermind practice lab. We've got the great repurpose. There's um expert series workshops in the mastermind if you want to have a deeper
216. 34:57conversation about this AI stuff. Um mastermind is the place to do it. These are people thinking deeply about what's
217. 35:04going on with AI and how we apply it and how we use it and things like that. So anyway um we have a we have a great
218. 35:10repurpose meeting tomorrow. By the way, if you're in the mastermind or if you're not and you want to join the
219. 35:15conversation um about the great repurpose and what's here and what's coming, um that should be a really
220. 35:23really fun and interesting conversation. Uh Andy and I were talking about that over the weekend. So, I'm I'm actually
221. 35:29really excited about that. Um lots of fun in community chat. I agree. Uh Andy, I am team inbox zero. I know it it's
222. 35:37it's it's very unfortunate and I know my my my inbox gives you hives. [laughter] Sorry, Kim. Note to self, text Kyle
223. 35:47instead of emailing him. I did make a commitment to Andy and Brandon both that I am going to do better at checking my
224. 35:57email on a timely basis. And so I have mostly done that last week. Wasn't great, but it was better. and I
225. 36:06am aware of it. So, I'm committing to improving that aspect of my life. Um, but I have no interest. I don't give a
226. 36:13about inbox zero. I figure if it's truly important, they'll email again, [laughter] which is bad. I know. Listen, I
227. 36:22understand that that's shitty. [laughter] Oh, man. All right. What's going here in Tik Tok? By the way, if you're on Tik
228. 36:31Tok and you want to see what I what I'm looking at on screen uh in the in the live stream, just go to my profile,
229. 36:38click on the link there. That'll bring you into the AI salon. So, come on over and hang out with us. Um so, anyway,
230. 36:44please go explore uh the AI salon. Lots of lots of good stuff in there. Okay. Um let's head on over to X. I want to play
231. 36:53a movie. It's going to be movie night here in AI AI learning lab. Wait, what was that? I just saw a Japan thing. It said Japan
232. 37:05declares state of emergency in cyerspace. Something. Oh, and by the way, Meta today launched. It looks like the major labs have
233. 37:18cracked RSI recently. The new model from Meta, Muse Wonder, is better than Opus 5.5 on many benchmarks. [laughter]
234. 37:34That's mean, Andy, and and not inaccurate. Uh, so Source Camp, uh, Andy Andy would like to, for the record,
235. 37:41correct that, uh, sending me texts is actually just as bad as emailing me. [laughter] I don't disagree. [laughter]
236. 37:57Oh man. Better than Opus 5.5 for a personal assistant. Wow. Well, yeah, but rock paper scissors. This is this is a
237. 38:04it's a new model. It's not just their Muse thing. Japan declares a state of emergency in cyerspace as cyber attacks
238. 38:11surge with more than 20 major companies reporting breaches. Huh. All right. So, it begins. I listen.
239. 38:19I told you I I called it. We've got this on record. We've got this on a video. I think it was last Friday. Yeah, it was
240. 38:27last Friday. I said, "Mark October 6th as I'm going to declare that as day one of the singularity." Um Brent Peterson thinks it's October
241. 38:427th because that was so what happened on October 6th was in the evening in you know like 7 o'clock East Coast time open
242. 38:52AI dropped 722 math papers right all these math solutions when you have that many like if you solve one or two problems or you say
243. 39:04we've solved five of them that's a big deal when you do 722 2 across 372 problem areas. That's the beginning of a scale that
244. 39:19humans won't even be able to keep up with, right? Because how long is it going to take mathematicians to just
245. 39:26even process how all of those things were solved and what the implications are and and maybe those spark new ideas
246. 39:32and create new problems and maybe some of them are wrong and some of them are right. Well, what happens when they drop 15,000,
247. 39:40right? And then a 100,000 and then two million and then you do that for every single area. So, including hacking, so cyber
248. 39:49security, scoot, Axios, top executives at Anthropic, OpenAI, and other AI companies are privately gaming out scenarios for a public
249. 39:58and political revolt revolt after a catastrophic AI event. I'm glad they're planning for that. But I can't imagine that that's going to
250. 40:07happen anytime soon. Maybe two years from now, but I don't know. Maybe these things are better than we know.
251. 40:15Um, Terminator 1. It feels like LLMs are just toys and Google has the good stuff. I find it staggering that Google hasn't
252. 40:25come out with some banger shake the world kind of model just yet. Um but but the rumor is that all of the all of the
253. 40:33major labs have cracked a RSI recursive self-improvement where the AIS are writing themselves. Um and uh you know
254. 40:43that just means that if you if you think things have been accelerating at this point just just wait. Okay. So let's let's watch a video.
255. 40:51>> Tired of Earth? Want to start a new >> All right. Let's do this. I'll give no context here. By the way,
256. 41:00if you're on TikTok, we're watching a movie. It's movie night over in AI Salon. Go to my profile, click on the
257. 41:06link there. That'll pop you into the live stream and you'll be able to watch the movie. Uh it's got You'll have to
258. 41:12come see it. It's pretty funny. >> Tired of Earth? Want to start a new civilization on Mars? Um, now you can. Introducing [music]
259. 41:25Mars X, a uh loadbearing colony where super awesome pioneers will get everything ready. Join us and build the backup for
260. 41:35civilization. A backup only works if it runs without Earth. So the whole job here is to make this place run by itself. >> We sold the house.
261. 41:46I'm honored to be a part of this. >> Known as the looter, it connects your brain [music] to the super intelligence.
262. 41:53the uh the big computer that runs every robot here. It's there to help you. At first, the more it helps, the more it
263. 42:02can do. The super intelligence runs hot. It needs a lot of cooling. Now, Mars has water. It's just very, very deep. So, we
264. 42:11found an alternative solution. Think of yourself as the first stage. We like humans. They were necessary. It's
265. 42:19hardcore. Yeah, there there are some drawbacks, but it's really fun. >> Low water alert. Low water alert. >> Thank you for your service and
266. 42:30sacrifice. We said we'd make life multilanetary. We didn't say who's. [music]
267. 42:45[music]
268. 43:05Get away. >> [music]
269. 43:20>> Take it. It's not [music]
270. 43:34[music]
271. 43:56That was very well done. I don't know who RK is, but he'll get some work out of that. Um, this is I've noticed a new term. So
272. 44:06all summer anything that was AI generated there was just this vitriolic it's slop it's AI slop. Um they're now
273. 44:14calling they're now calling uh these kind of things slopcore [laughter] like like neon core. That was really
274. 44:23well done. Here's here's my contention. You all you all know this. Um, storytelling is storytelling.
275. 44:33And if it's good storytelling, it's good storytelling. How you got there, who gives a You know, James Cameron
276. 44:40when he did Avatar used a whole bunch of CGI. You know, if people like the story, they like the story. If they didn't like
277. 44:46the story, they didn't like the story. But the conversation was not about the the CGI other than, oh, it's pretty
278. 44:52good. Um, and how how realistic does the the CGI look, right? And so we're we're in a similar sort of spot now. Um this
279. 45:01is it AI made or not is going to be temporary. And what's going to happen is some existing filmmakers are going to adapt.
280. 45:10Some existing filmmakers are going to refuse to adapt and they will become increasingly marginalized just because
281. 45:21film is going to be made very very quickly. Um there there will be a small amount of people that made make films the
282. 45:30oldfashioned way. Um but that'll be secondary. And then there will be new filmmakers who are exploring with AI
283. 45:39storytelling and editing and generation right now that will that will understand the craft in a in a way that's different
284. 45:48than if you understand traditional film making. and they will break rules and and you know and influence culture just
285. 45:56like artists have always done. So anyway, I thought that was a pretty good example of one that was just like that
286. 46:02wasn't bad. It was pretty good. It didn't seem particularly janky. It was good slopcore kind of stuff. Elon Elon
287. 46:11Musk meets Mike Meyers. Um so there you go. All right, let's see what else was there. Oh, this is one I wanted to share. So Tim Sweeney,
288. 46:23who's the founder and CEO of Epic, says, "We have a huge pivot underway at Epic, moving developers around to retool
289. 46:31for maximum AI acceleration." I don't know if you've been seeing it yet, but let's go look for a term mashup on Twitter and
290. 46:45create a mashup with just one prompt. Meet Melty MCP where you can combine different video games that it goes and
291. 46:55reverse engineers the code and then mashes up gameplay or elements into a new game where maybe you bring Super Mario Brothers into
292. 47:06into uh Call of Duty or whatever. Um it's insane to watch AI blow apart closed source software and games. four
293. 47:16examples from the past month. This is from Peter Yang. So the first example is um Miguel Miguel Duran who copied all of the major um Adobe
294. 47:31Creative Suite and made them free. I think I found your Rek. He's Ari Kushner. Hang on. Pop this up on screen.
295. 47:49Visual storyteller, artist, and founder of the creative studio MSSGP pieces. Missing pieces. Oh, that's cool. Nice. Like it. Beautiful.
296. 48:04They're doing that for Adobe. I think something is happening with PS5, too. Yeah, PS5. There's now a repository. So,
297. 48:12so listen, Sony for years, the the gaming community all over for so Sony for years because Sony said, "You
298. 48:20will never be able to play any any machine that was built exclusively for the PS5. You'll never be able to play
299. 48:26that on a PC. You have to buy a PS5 if you want to play this game." And everybody lost their and then they
300. 48:33just shut up about it because you can't reverse engineer games once they've been compi compiled. Unless of course you
301. 48:40create some radically intelligent new kind of intelligence that can actually read compiled games and reverse engineer them. [laughter]
302. 48:51So there you have it. Their PR department must be working around the clock. Let's see. Continuing with continuing what LRA my chat GP
303. 49:03found on. Okay. Who is Okay, cool. Yeah, check that out. That's beautiful. All right, let's see what else is being
304. 49:09talked about here. Modders are using AI to decompile games and mash them together. So, here's Super Mario and Halo. [laughter]
305. 49:18Let's Let's watch a little of this. This is good.
306. 49:41>> [screaming] >> I love it. Okay. Old games are getting hacked to run in the browser. Here's Super Smash Brothers 64 running in a
307. 49:55browser tab with a thousand people as fighters. Beautiful. My personal favorite, my my personal example. I'm paying almost $300 a year
308. 50:05for a YouTube research tool until I decided to vibe code a replacement with Claude in five minutes. Amazing. Peter, you're forgetting
309. 50:17Candy Candy Stood. I don't know what that is. Oh, the Candy Stand games are back. Oh, that's cool. Warcraft Minecraft CraftCraft.
310. 50:32That's pretty good. Anyway, that shit's all going on. All right, let's see. Let's see what else we had pulled up to to kick around and talk
311. 50:41about. There's a couple of interviews. It It does look like Meta Meta has come back with a a new model.
312. 50:58Meta's Muse Retention is out and it's almost as good as chat GPT. Yeah, but it's only been out for three weeks.
313. 51:03That's not it's not a fair comparison. Let's see. Will we see the double the number of Instagram accounts? Ryan Seirart Seir
314. 51:20just dropped a second Instagram page. This is 100% AI generated content with a hey genen avatar of himself in different
315. 51:28outfits. Love the transparency of it rather than hiding that it's AI. Let's go look at this.
316. 51:47Oh, they already killed it. Instagram already killed it. All right, whatever. All right. How goes it? Not AI, but did you see all
317. 51:59Cartoon Network leaks for rigging and storyboards and prototypes? All that I think was 250 gigabytes.
318. 52:11Cartoon Network's leaks for rigging and storyboards. I didn't see that, but I wonder how that got leaked. I
319. 52:20wonder what's happening with the with the hacks. All right. Oh, yeah. This is a this is a fantastic one. Um anthropic and and actually Cam
320. 52:36Cactton thinks this is a good thing. I think this is a wild thing, but um they're addressing abusive behavior toward our models. We've added
321. 52:46prohibition on sustained and needless abusive or cruel behavior toward our models. I'm guilty of that here when I
322. 52:53call ChachiBT a nin and I say maybe you could try it next time as if you had talent. So I I am guilty of this but I
323. 53:00would say that to a human too. Um the policy update is meant to apply only in extreme cases where users repeatedly act
324. 53:08cruy cruy toward our models with no discernable purpose. It does not apply to common versions of user frustration,
325. 53:16feedback, dark creative themes, or model testing and research. So, that's good. So, I should be fine with my little
326. 53:21smartass Gen X comments that are politically incorrect. [laughter] Um, let's see. Today marks a new chapter
327. 53:33for Windows as we bring unmetered intelligence to every desk and every home. So they're they're launching a new
328. 53:42hardware line that that has ondevice inference. I think I'm going to do that. I'm going to do that Wednesday. Brandon and create
329. 53:57excellence chatbt6 and oh intelligent UI now rolling out in chat GPT for everyone. Intelligent UI and chat GPT. So this is
330. 54:11let's go look at this. I want to watch I want to look at this video. Oh, we looked at this the other day.
331. 54:18Yeah, all the pink chips are just text only. So, I tried this on the chat GPT app on my phone and it worked and it was pretty
332. 54:27cool. So, let's go to chat GPT here. I think I need to upgrade this. Check for updates. Let me just check for updates
333. 54:37here. You're up to date. But why? Okay. Show pet. So, that's new. Okay. So, let's go to let's make this full screen.
334. 54:52We'll do new chat. Uh, do you have access to intelligent UI? intelligent
335. 55:08UI that Open AI launched. Last week,
336. 55:23Guardians just took a lead 4 to2 in the eighth. Beautiful. Fantastic. What's going on in the Buffalo game? What's the score there?
337. 55:38Um, I don't know if you saw we get resets on GPT tonight. I did see that there there were some So, OpenAI has
338. 55:48announced that they're going to be doing 30 days of announcements. Today was day seven. Let me go look at usage. Wait,
339. 55:59zero credits remaining. Where's my resets? Oh, here's the resets. So, I've got three resets available. October 22nd. So, I've got full full
340. 56:13three resets. All right. Weekly limit. I got lots left. I haven't they seem to be have gotten a bit better in in their uh in their
341. 56:26stuff. Okay. Intelligent UI is a feature. Open AAI says it's available in chat but not the work tab. So I think I'm in the chat tab. Am I
342. 56:39chat? It's in the chat tab. So we'll go extra high. Go in the chat tab. So here's what here's what I did and we'll we'll see if
343. 56:49it's there. So, what this is is there's a UI kit sitting sitting there. So, here's here's here's what I did that worked in the
344. 57:02chat GPT app. And what I might do Tik Tok because I want to show the people in the AI salon this. I'm going to try this in
345. 57:11chat GPT desktop app and see if it works. Rock, paper, scissors. I upgraded to $100 a month plan. Find a big
346. 57:20difference. Yeah, I upgraded as well. Um, if if the intelligent UI doesn't work there, I'm going to pause Tik Tok [cough]
347. 57:31[clears throat] and and go to the chat GBT app and show show people what we're doing. Okay, but here was the prompt I put in. I
348. 57:39said, um, find me the top five rated sandwiches.
349. 57:54Top 10. How about the top 10 most mentioned sandwiches spelled wrong?
350. 58:12from restaurants in uh near closest to 80211
351. 58:28and feature that sandwich. two quotes about it. the restaurant rating.
352. 58:51Um a link to um directions map.
353. 59:06Um, and the ability to let's just we'll just we'll just leave it at that.
354. 59:21So, what I noticed when I did a a a thing like this on the chat GPT app on the phone, it was very very fast. So, here we go. All
355. 59:43right. So, let me copy this prompt. And Tik Tok, I I will be back. You're You're going to be You're going to be
356. 59:50losing me. Is it a me problem? Oh, muted on the salon app. Uh, shouldn't be a problem. Try reloading it. Newly found treasure. Um,
357. 1:00:00what I'm going to do here is you're going to pause here on Tik Tok and I'm going to show this on I'm going to show
358. 1:00:07the people on the salon. If you want to come over to the salon, go to my profile, click on the link, that'll pop
359. 1:00:12you over there. But I'll be I'll be right back. Okay. So, chat GPT. So, we're in chat GPT chat. So, that see
360. 1:00:24how slow that's going? That's going really slow. Let me let me try this. Let me try this here. So, here I'm in
361. 1:00:30the chat GPT app and I'm just going to paste in that same prompt. So, the exact same prompt. And then let's see how this does.
362. 1:00:43Look how fast that is. Now, it's hung of course.
363. 1:01:09Uhoh. Try again. It looks like it it lost the stream.
364. 1:01:41Uh, the strongest nearby contenders include OD's B Chopped Cheese. I caught a stale listing. Huh. Not working. Um,
365. 1:01:56and this is still going. So, it looks like it's not on the desktop app, but see how this has got like the little
366. 1:02:02rounded corners on that picture. Let me go. I I'll show you. I did this the other day. Find app dishwasher marketplace.
367. 1:02:19Find top sandwich shops.
368. 1:02:36here. Here's what it built me. So, like ODB's Sunnyside, see the sandwiches? And then there's the map directions.
369. 1:02:50And then it's doing that for for 10 different restaurants. And it did it it did it really really quickly. So this thing, the one thing
370. 1:03:01I've noticed with with chat GPT desktop lately is it's slower than It's really slow. Anyway, I got to go back to
371. 1:03:08Tik Tok because people are like, "Where is he? Where did he go?" Let's see. Um, you have to unmute after starting a play
372. 1:03:17on the network. Okay, so if you come over from Tik Tok over to the AI salon, this is still going. That's ridiculous.
373. 1:03:24Okay, so I would say go on ahead and ignore their big announcement for intelligent UI. Let's go look at some more news stuff.
374. 1:04:18Okay, Tim Sweeney. Oh, this is this is what I wanted to talk about. Um, Epic Games is doing what Jack Dorsey did
375. 1:04:28with Block. So, if you remember, so I've got this thing called the seven economies. Let me pull it up for you.
376. 1:04:34I've got this thing called seven economies. Um, see that there. I want uh, what do I want? I want photos
377. 1:04:56this. And then I want this. Okay. So, if you all remember, I made this this uh came up with this concept here on the AI learning lab
378. 1:05:08called the seven economies, which is the idea that as AI gets better and accelerates away from the current world,
379. 1:05:19our world is going to shatter into these seven distinct economies. Because right now, as of last week,
380. 1:05:272.2% 2% of American households pay for AI in some form. 2.2%. That means 97.8% don't. So, we're living in a world where
381. 1:05:42the vast majority of people are not using AI, hate AI, resist AI, aren't don't even know it's there. And AI is solving, you know, nearly a
382. 1:05:54thousand math problems in a single drop in a single day. And it's accelerating, right? Economy five is what I call the
383. 1:06:03aggressor economy. So the basic idea is level of AI adoption will sort of drive you into one of these economies. Economy
384. 1:06:11one is the analog economy. Two is I'm just going to ignore it. Three is I'll use it for efficiency. Four is I'm going
385. 1:06:18to basically keep running my business as I've run it, but I'll do some innovation with AI within it. That's the transition
386. 1:06:24economy. Interesting economy, but still kind of leaning on the business model of days past. Economy five is the really tricky one
387. 1:06:36because economy five says, "I'm willing to take an existing company that has an existing revenue base and an existing
388. 1:06:44structure and I'm going to completely reimagine it for the AI age. Jack Dorsey did this with Block, a you know, a
389. 1:06:53digital financial company where he laid off 4,000 of his 10,000 employees while they were growing and is replacing
390. 1:07:01middle management with AI [laughter] and completely rearchitecting how things get done in the business. So,
391. 1:07:09so this guy um Tim Sweeney, who's the founder and CEO of Epic, is now doing that for Epic. We have a huge pivot underway here at
392. 1:07:18Epic. More developers around. Wait, moving developers around to retool for maximum AI acceleration. The aim is
393. 1:07:28isn't to do the same stuff with fewer people, but to enable everyone here to build more and better stuff and bring
394. 1:07:35the benefits to all teams using Unreal. And then someone said, "Your inability to read the room is really astounding,
395. 1:07:42Tim." his response. Much of the room wants it to be 2016 again, which if you go read Terrence TA's response to the
396. 1:07:52722 math problems that got solved, it basically said, "We want to go back in progress. We want to do things the way
397. 1:08:00we did it before. We don't need your stinking technology." So Tim Sweeney says, "Much of the room wants it to be 2016 again, but it's not.
398. 1:08:10Our job as providers of tools and technology to much of the industry is to design for the present that is and the
399. 1:08:18future that will be soon. Personally, I'm optimistic about it and see it as empowering for creators. Let's see what
400. 1:08:24the hate he gets back. I bet it's going to be brutal. Um, let's see. It's a bunch of gro back and forth.
401. 1:08:36Do you think having development time is the goal post or is it a third or twothirds realistic? Right now it's
402. 1:08:43highly variable from 20% in some areas like the technical areas of of Unreal Engine dev to 5x in other areas like webdev.
403. 1:08:52By this time next year, I expect very little will be less than 3x of January 2026 efficiency. So he thinks their
404. 1:09:00productivity will go up 3x in a year. >> [cough] >> Um, sorry James, you're having trouble with the audio. That sucks. Maybe try
405. 1:09:14quitting Chrome and coming back in. Sometimes Chrome just gets bored. Time stops for no one. Tim, I really wonder what you think of
406. 1:09:23the past week and a half with AI usage from REA to game mixing, PS5, etc. Where do you see game design going from here?
407. 1:09:31The biggest change will will be much faster time from having an idea to play testing it. This is the thing. So the
408. 1:09:39head of Epic Games, the founder of Epic Games is recognizing and retooling his company, reimagining his company to say,
409. 1:09:48"Hey, what if it only took us a day or two to turn around the game? What if we took the the deep expertise within Epic and highly empowered
410. 1:10:01the ideas and craftsmanship of those people and said, "Listen, how you build games is over. That you build games is not
411. 1:10:15and and that you're passionate about them and you are good at them and you're good at understanding what good gameplay
412. 1:10:20is and and stuff like that. We are going to be able to to use these new tools to build games in a way that people without
413. 1:10:27our experience can't do it." I think this is really really smart. It it remains to be seen exactly how this reorg is going to look and work.
414. 1:10:38Hopefully he'll do a post on that soon. Um going to accelerate an IPO. Our more modest aim is to survive the AI revolution. So here's a CEO.
415. 1:10:50Okay, I said this Friday. I said this Friday. Every single industry is about to get hit with the same that just hit the mathematicians,
416. 1:11:05right? The mathematicians, rather than saying, "Hey, some fancy math solved some fancy math problems. Holy let's get going. Time to
417. 1:11:15mobilize. Let's do more." They got together, 28 of them, I think, Fields award winners, and wrote a letter that said, "How dare you, sir?"
418. 1:11:32Every single industry. So, so in this past week, we heard at office hours last week, we had heard Brent Peterson talk
419. 1:11:40about this, all of these game mashups, reverse engineering all of the PS5 games and making them playable on PCs.
420. 1:11:48um that happened this past week. So, the game industry is looking at this going, "Okay, it's here for us." Now, here's a
421. 1:11:57CEO going, "Guess what? It's time to reimagine what this can be." Our modest aim is to survive the AI re revolution,
422. 1:12:05help other developers do the same, and come out on the other end making better code and content faster. I mean, this takes guts, right? This
423. 1:12:16takes guts because what he has to do as a CEO is he has to make the call to say if we continue on our current course, if we
424. 1:12:28continue as an economy 4 company or even an economy 3 company, if Epics's Games says, "Hey, listen. It just takes seven
425. 1:12:38years to develop a AAA game because we handcraft every item." if they stuck in economy three or even in
426. 1:12:47economy four, what he recognizes is they won't be in business in a year or two or three. You know, they they'll have some
427. 1:12:54runway because of their existing IP, but they'll just become like an IP licensing company. They won't build
428. 1:13:02And so what he's choosing to do is effectively shut down his economy 4 company and retool it for the for the new economy.
429. 1:13:13That's a major pivot. I think the this kind of significant pivots, they're going to be rare. I can I I know of two
430. 1:13:21right now. Jack Dorsey and now Tim Sweeney. Um I went to YouTube to check computer sound is good. I don't know. Thanks
431. 1:13:29again and sorry for bothering you at all. James, you're not bothering us at all. I am sorry you can't hear us. Um that sucks.
432. 1:13:38That sucks real bad. Mhm. It looks real bad. Yeah. All right, then. All right, let's go look at some other stuff. Tesla just
433. 1:13:48ripped out the Model S line it built for 14 years and replaced it with humanoid robots. That's cool. Reverse engineer anything.
434. 1:13:57So, here's a GitHub repo where you can uh one command line interface and MCP server for agents from binaries to
435. 1:14:06websites. So, if you don't know what that means here, let me show you something here. So if you come in here, see all this
436. 1:14:22See these these numbers ox441 and then 4889 E5. This is all machine code. So down here's the machine code.
437. 1:14:35The way software development works, programmers program in human readable code like C++ or C or Swift or whatever
438. 1:14:46coding of the day, whatever is the language of the day. And then they do this thing called compiling it. And when
439. 1:14:52they compile it, it turns it from human readable code into machine code where computers can look at these numbers. OO
440. 1:15:00111 22 33 344, right? 8899 AA BB 7D FC 8 and if you look at all this and know what to do with it, it will make all the
441. 1:15:09circuits do what they do so you can play a game. It has long been thought that it is just not practical to reverse engineer
442. 1:15:20code from machine language because it just it's impossible to figure out. Well, AI can do it now. And so this is a
443. 1:15:27GitHub GitHub repository where you can just give it some some binary code and it'll go figure that out. [laughter]
444. 1:15:38Oh, wait. I want to see this from Kelly Cam. Let's see. One of my clients. Hang on. I got to make my window bigger because I can't
445. 1:15:50quite see that because I have old man eyes. I don't know if you know this, but as you get older, your eyes start to
446. 1:15:56suck. One of my clients, a manufacturer, wants to open a second shop and wants us to rethink the whole company before
447. 1:16:03opening number two. We're starting with consolidating the job nomenclature. He's going to be so far ahead. So, a
448. 1:16:10manufacturer, this is okay, this is really cool. What Kelly's describing, let's go back to the the seven economies.
449. 1:16:21What Kelly's describing here is you've got a guy who's in economy three, maybe in economy four. He's probably in
450. 1:16:29economy three. If he's bringing in Kelly, he's probably going, "Help us use AI better." She's probably saying,
451. 1:16:34"Well, here's how you can innovate. Here's how you can be in a transition economy." But really, what you should be
452. 1:16:40thinking about is what if AI changes everything? So, what he's doing is he's saying, "Okay, got it. let's keep running the
453. 1:16:48company as it is and then we're moving spaces anyway. So in that new space, let's reimagine what this company could
454. 1:16:55be. So he's doing like a an economy 4, economy 5 hybrid while he transitions, right? Transition economy is literally that as those
455. 1:17:06economy 4 companies start figuring this stuff out, they're going to realize, hey, holy we got to look at this
456. 1:17:13new future. And so what he's going to be able to do is by having people like Kelly consult with him to say, "Well, here's everything
457. 1:17:25I've been si seeing." And I go to office hours and I hear Brent Peterson talk about this and then I go on Twitter and
458. 1:17:30I hear about this and then I go to the AI learning lab and Kyle just talks about this crazy over here. Based
459. 1:17:35on those three things, I think here's a possibility for your business. And rather than him fighting that,
460. 1:17:42saying, "Well, that's not how we do business." He's saying, "Okay, what would that look like?" And he will, Kelly, he'll be so far ahead.
461. 1:17:53He'll be so far ahead of of other manufacturers who are just like, "All right, use some A item. We can make the emails faster, right?"
462. 1:18:04and and he will likely have his line prepared for humanoid robots or for specialized robots or whatever it is or
463. 1:18:13his whole back office will be fully automated. and and the the three people that they had working on accounts receivable can
464. 1:18:22now go do other stuff in the company because they don't have to spend that time doing accounts receivables cuz Claude Code's going to
465. 1:18:30just claw up some agent to go do that. Brilliant. Maybe he can do just in time raw material sourcing or instead of just following the
466. 1:18:44existing supply chain and all the backroom deals, maybe it's just in time raw materials gathering at the best possible price at
467. 1:18:57any given moment in time, which you couldn't do without something like AI because it's logistically a
468. 1:19:03nightmare. Marge wouldn't go for it. You know, Marge in the back office. Yeah. Why do I have to look at 16 different
469. 1:19:11companies that's are going to sell us stainless steel screws again? I gotta find the cheapest one. It changes all
470. 1:19:18the time. I know, Marge. Just do it. I don't want to. Hey, I'll just do it. You know, all right.
471. 1:19:32Are we still doing this just in time for the plague? The plague hasn't escaped yet that we know of. [laughter]
472. 1:19:43Can you imagine how much fast faster they'll be producing with number two? Hey Kelly. Seriously, here's an idea.
473. 1:19:55Here's a serious idea. Seriously, I don't know why I said that. it. I don't care if you're serious or not. Um, I would, if I were you,
474. 1:20:13guiding him, but for your business, but also for his, if you're not doing this already, I would start tracking what's happening
475. 1:20:23there almost like it's a documentary film. It might even be worth getting someone local to come do interviews of the
476. 1:20:32current people and how they do things to do interviews of the people and and how things are going. What you're going to end up with because
477. 1:20:41he's willing to do like like what Tim Sweeny's doing and what Jack Dorsey did was they were in economy four and they
478. 1:20:49literally just said, "Fuck it. Blow it up and we're going to economy five." this guy because he's going to do this
479. 1:20:56split strategy where he's got his company running as it was and then he's rethinking how number two should open.
480. 1:21:04That's fascinating, man, because you're you're going to you're going to find things like people that were not
481. 1:21:11successful employees in this version of the company might be really good over here and and vice versa, right?
482. 1:21:21Like I would track that. I would I would absolutely track that. Like track it, talk it into chat GPT, record all the
483. 1:21:29transcripts. I would get I would get some live footage and interviews if he's if he's willing to foot the bill for a
484. 1:21:35documentarian. Yeah. Pitch him the idea tomorrow when you meet. Um because like like if nothing else, man,
485. 1:21:43that CEO like I would love to know what's in his head. Like why is he willing to do this? Why is he going for
486. 1:21:50it? obviously because he trusts you and you've given him some some sense of what's coming. But like, is he excited about it? Is he afraid of
487. 1:22:01it? Is he in disbelief? How long's he been doing it? Does he have the guts to really go for it and really pull the plug on the old one?
488. 1:22:13Like, how long is that going to take? Are the people in the old company going to resist moving to the new one? And at
489. 1:22:19some point like the power just sort of dynamically does that. I don't know. I I would I would I would grab that one. Oh,
490. 1:22:28here's here's the other reason I was thinking about it, Kelly. That is exactly the kind of story that local
491. 1:22:34news will do a story on and potentially like if this is dramatic and interesting enough, you could potentially get like a
492. 1:22:4160 Minutes to come in and talk to him. Feels like there's there is marketing fodder to be to be had here. So anyway,
493. 1:22:49all right, that's it. All right, gonna totally up this guy's company. Bring in a film crew. [laughter]
494. 1:22:59So Jim decided to run two companies at the same time, and one of them was on AI. Oh no. It's a 40-year-old company, very
495. 1:23:09successful, but he sees the future. He tells me he's stuck in his ways, but willing and open to change.
496. 1:23:17I'm telling you, man. This is going to be a case study if he does this right. Yes. Go pitch him that tomorrow. All
497. 1:23:25right. I want I want for I want a free seat for the screening for the documentary. Um All right. I don't think
498. 1:23:34there's anything else to do. Let me let me go look at one more one more pile of news. Maybe find one more story to to babble on about.
499. 1:23:44All right. Oops. Oh, I knew I was clicking the top icon. Nothing was happening. Okay. You can play all these games directly in
500. 1:24:00your browser. Opus 5.5 made it possible without Steam or Epic. No downloads. So, the Epic guy that we just talked to
501. 1:24:09that's completely reimagining his company. [laughter] All right. Call of Duty, Black Ops 1, Zombies. What else do we have? Diablo 2056.
502. 1:24:24Grand Theft Auto Chinatown Wars. Starting game. Chinatown Wars. Downloading 862 megabytes. Played in the browser.
503. 1:24:39In the browser. In the browser. a Chrome extension that lets you play a full library of retro console PlayStation games in the browser.
504. 1:24:52[laughter] Here we go. Add to Chrome. Continue to install. All right. Here's here's what's happening right now. Okay. Wait. I got
505. 1:25:05to I got to Let's see. Is that It's been added to Chrome. Here it is. Oh, wow. Import ROMs. [music]
506. 1:25:36All right. I don't know where to get the ROMs, but that's okay. Okay. But let me let me talk to you about something here. Okay.
507. 1:25:43So October 6th, 2026, the day one of the singularity, when you start solving massive amount of problems that quickly,
508. 1:25:53when 3 days later from solving all those math problems, you can take all of the PS5 games and now play them for free in a browser
509. 1:26:03after Sony literally spent decades building DCA into games so that you literally can't play them without their hardware.
510. 1:26:18All of them are available. You're starting to be able to mash up and put Super Mario inside Halo. We're shifting
511. 1:26:33from what was sort of janky tinkering era. This channel was built on janky tinkering, right? Oh, we can make pictures. Oh, look. I can
512. 1:26:47upload a picture of Kyle and turn it into a dog. Janky tinkering. Then we went to janky vibe coding. And then
513. 1:27:03we're we're now at the place where these tools are getting good enough and and they're going to be accelerating that all of the rules.
514. 1:27:15If the CEO of Epic this week saw that all of their games are now available to play in the browser, he's got one of two choices.
515. 1:27:32I can sit with my arms crossed and about the fact that everything just changed and my business model just got flushed down the toilet,
516. 1:27:40or I can try to figure this out. So, it gets wild from here. Now, here's the thing. If you're new to the AI salon, we got a
517. 1:27:52decent amount of people here. If you're new here, if you haven't checked out the AI salon mastermind, this is an area in
518. 1:27:58the salon where we have these deeper conversations. I kind of wax poetic here. In the AI salon, we're working on
519. 1:28:04things like the the mastermind practice lab, which happens on on Thursdays. It's actually being redesigned right now.
520. 1:28:10like like in this crazy environment, how do we have a daily practice around how we use AI, how we incorporate AI into
521. 1:28:17our lives? Um, tomorrow we've got a meeting of the great repurpose that that's led by Andy Scarantino. These are deeper,
522. 1:28:28more engaged conversations about how we figure out what the future of work looks like when work is being completely redefined
523. 1:28:38in real time while we're in it. That's what the mastermind's all about. So if you haven't So if you want to dig
524. 1:28:47deeper and really explore how do we deal with this professionally? How do we deal with this psychologically, emotionally?
525. 1:28:55How do we have conversations with our friends that hate AI or don't even know that it's here, aren't willing to even
526. 1:29:01entertain the conversation? How do you have that conversation? Those are the kind of things that we explore in the
527. 1:29:07mastermind. So, if you haven't checked that out, please do that. Um, okay. We're building the plane while we're
528. 1:29:14flying it. Sony basically lied. Well, they're all going to have to deal with the fact that we can just play all their
529. 1:29:20games now. Um, and and I promise you, one of the things that we're going to start seeing is these individual hackers
530. 1:29:28who used AI to reverse engineer all the Sony games and make them available for everyone. Sony, Disney, sounds like not
531. 1:29:36epic. Um, but these big corporations, I promise you, will start suing individuals to try to make examples of them. And
532. 1:29:46there might be some individuals that end up going to jail, but but we're at a point now where the enabling technology
533. 1:29:54is available to all of us. So this is not a train they can stop. So if you think you're stressed out because AI took your job, imagine being
534. 1:30:05someone like Tim Sweeney where AI took your business model overnight. A year ago, we were saying maybe someday
535. 1:30:16you'll be able to vibe code a game that's as good as a AAA game. You can now reverse engineer a AAA game and mash
536. 1:30:23it together with another one and come up with some hit that that combines two pieces of IP that legally shouldn't be able to do that
537. 1:30:33again. Now, what does that mean? I don't know. But holy crap. Okay, that's it. I'm out of here. I hope you had fun tonight. Um,
538. 1:30:42lots going on. It's this is the the from here to the end of the year, it ain't slowing down. And in 2027, it's
539. 1:30:52going to get absolutely insane. So, hang in there. Keep coming back here. Peace out, everyone. Hope you have a good
540. 1:30:59night. Bye. There's no sleeping in AI. Exactly.