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- 💰 Claude Cuts API Costs By Up To 90%?
Plus: GROK 2 is really wild
Read time: 5 minutes
Happy Thursday!
Claude now offers a new beta feature for prompt caching, allowing users to save frequently used context. They truly understand what users want and gain valuable insights for new products.
What are on FIRE 🔥
AI REPORT
🆕 Prompt Caching Now Available in Claude
Source: Claude
Prompt caching with Claude lets you quickly improve model responses with detailed prompts while saving up to 90% on costs.
Key takeaways:
Prompt caching cuts costs by 90% and reduces latency by 85%.
Supports Claude 3.5 Sonnet and Claude 3 Haiku models.
Claude 3 Opus support is coming soon.
Notion sees improved performance with caching in their AI assistant.
Cached prompts allow for faster, cheaper, and more efficient AI use cases.
Why it matters: Using prompt caching makes large prompts cheaper and faster, especially when you use them often. Picture affordable chatbots with deep knowledge, coding assistants that easily understand your whole code, and AI that can talk about entire books at low costs and speeds. This makes many previously expensive AI-powered apps now possible.
For example:
Without caching: 35,000 tokens cost around $0.10.
With caching: 497 tokens cost about $0.01.
(Cost for cache reads: 35,000 x $0.0003 = $0.01)
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TODAY IN AI
AI HIGHLIGHTS
🧠 Hedge funds use AI like ChatGPT as an intern to streamline tasks, but the journey to AI as full analysts is still ongoing, requiring careful human oversight
Interns at hedge funds and investment banks are seeing their roles replaced by AI, and even seasoned analysts are excited. Universities are gearing up to offer AI-focused courses on MOOCs. While students nearing graduation and those seeking junior positions are uncertain, others are more optimistic, thinking, "What are the chances of losing out?"
Do you think AI tools like ChatGPT can fully replace junior analysts in finance? |
🎭 SAG-AFTRA partners with AI startup Narrativ, setting ethical standards for digital voice replicas in advertising, ensuring consent and fair compensation for 160,000 union members.
📚 High school teachers report rampant A.I.-assisted cheating, noting students' decreased willingness to struggle with challenging concepts, potentially impacting their resilience and problem-solving abilities.
🖥️ Huawei prepares to launch Ascend 910C, an AI chip challenging Nvidia's H100 in China, with major tech companies testing it amid U.S. sanctions.
🖼️ GROK .2.0 has just been released, including the Flux.1 model and it is exactly as chaotic as you might expect. Premium X subscribers are already using the betas to generate fake images of political figures like Donald Trump
DAILY AI FUNDRAISING
Radical Ventures raised $800 million for AI investments. Founded in 2017, it's backed successful startups like Cohere, reflecting the growing interest in AI funding.
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NEW EMPOWERED AI TOOLS
🎮 postgres.new is the in-browser Postgres sandbox with AI assistance.
✨ a1.art varies your photos and turn moments into stories.
🌄 Conva.AI builds an AI assistant for your app in 1 click.
🔊 Tusk (YC W24) makes UI improvements with AI.
🎶 Lottielab Interactivity creates and exports interactive Lottie animations easily.
AI QUICK HITS
💻 Research AI model rewrites its own code for longer runtime (Link)
🎾 New Match Point AI simulates tennis, offers strategy tips (Link)
🔍 Opera One launches on iOS with AI features (Link)
🔄 Ex-Google CEO retracts claim that remote work slowed Google's AI progress (Link)
📈 Apple supplier Foxconn surpasses profit forecasts thanks to AI boom (Link)
AI CHART
The AI Skills Race
Understanding why people use AI is just as important as knowing what's popular. While AI-generated photos and videos are eye-catching, brands should focus on the skills AI enhances.
Skills Improved by AI
Consumers report that AI tools have greatly improved their research, efficiency, and creativity. In most markets, research is the top skill enhanced by AI, except in Malaysia (where problem-solving leads) and Japan (where efficiency tops the list). This shift could change how people discover brands—why visit a website when AI can give tailored answers?
Context on AI Tool Use
In 12 surveyed markets, 24% of consumers say AI has improved their research skills the most. While this is less than those who discover new brands through search engines (32%), TV ads (31%), social media ads (29%), or word-of-mouth (28%), it’s important to consider the growing impact of AI on the future.
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