AI and the Automation of Work

Greetings!

Welcome to The Menu Magic - Finance & AI newsletter

Every week, we will deliver expert insights, in-depth analysis, and curated content to your inbox, helping you navigate the rapidly evolving landscape of AI in finance.

In today’s email:

• AI and the Automation of Work

• Unleash Your ChatGPT's Superpowers: Activate Plugins

• Time-Traveling through Pints: A Surprising Economic Tale from the Imperial War Museum

AI and the Automation of Work - Benedict Evans

Hey there, my friend!

I hope this message finds you well. Today, I want to share some insights from a fascinating article I recently read by Benedict Evans, titled "AI and the Automation of Work." It's a deep dive into how AI, particularly generative AI and Large Language Models (LLMs) like ChatGPT, are changing the way we work. So, let's dive in, shall we?

First off, Evans points out that we're in the midst of a generational shift in what we can do with software and what we can automate. It's not just about automating repetitive tasks anymore; we're talking about entirely new kinds of automation. And it's happening at breakneck speed. For instance, ChatGPT has amassed over 100 million users in just six months.

But what does this mean for jobs? Well, history tells us that every wave of automation leads to the disappearance of certain jobs but also the creation of new ones. Yes, there's friction and displacement in the process, but over time, the total number of jobs doesn't decrease. In fact, we all become more prosperous. As I pointed out in my 2018 book “Beat the Robots”.

Now, I know what you're thinking. "But what if this time it's different? What if the jobs that AI will create don't exist yet?" Well, that's always been the case. No one in 1800 could have predicted that a million Americans would work on railways by 1900. And no one in 1900 could have predicted 'video post-production' or 'software engineer' as employment categories.

The key takeaway here is that we shouldn't worry too much about AI. It's just another wave of automation, and we've ridden those waves before. The machine lets a person do 10x the work, but you still need the person.

However, Evans does acknowledge two counterarguments. The first is that this wave of automation might happen much faster than previous ones, leading to greater friction and difficulty in adjusting. The second is that LLMs and ChatGPT represent a shift in the layer of abstraction, making them more general-purpose technologies. This could potentially disrupt many vertical apps and automate much more.

But even with these counter-arguments, Evans believes that LLMs will enable a whole new wave of unbundling, as startups peel off dozens more use cases from Word, Salesforce, and SAP, and build big companies by solving problems that no one had realized were problems until LLMs let you solve them.

So, what does this mean for you, my entrepreneurial friend? Here are a few pieces of advice:

1. Embrace AI: Don't fear AI; instead, embrace it. Understand that it's just another tool that can help you do more with less.

2. Stay adaptable: The landscape of work is changing rapidly. The key to thriving in this new environment is adaptability. Be ready to learn new skills and pivot your business as needed.

3. Look for opportunities: With every wave of automation, new opportunities arise. Keep your eyes open for problems that AI can solve, and consider how you might build a business around those solutions.

4. Invest in people: Remember, even as AI becomes more sophisticated, you still need people. Invest in your team, and ensure they have the skills and training to work effectively with AI.

Remember, the future is not something to fear, but something to shape. And as entrepreneurs, we're in a unique position to do just that. So let's roll up our sleeves and get to work!

Until next time, keep innovating! Read the whole article here

Unleash Your ChatGPT's Superpowers: Activate Plugins

You know how we all love to level up our game, right? Well, it's time to turbocharge your ChatGPT experience! Now, you're probably wondering, "What's she on about this time?" It's all about plugins, my friend. Yes, you heard me right, plugins.

You might be familiar with plugins from other platforms, like Wordpress or Photoshop. They are those handy little additions that supercharge the platform's functionality, making our lives easier. The plugins in ChatGPT are no different; they are a revolutionary tool that allows you to analyze text in PDFs, do online research, and even grasp things faster.

Now, don't worry if this is all sounding a bit complex. We all need a helping hand sometimes, right? So, let me point you in the right direction. There's this amazing guide on Twitter that will hold your hand and walk you through the entire process. It's like a roadmap to awesomeness! Just follow the steps, and you'll have your plugins activated in no time.

Before we wrap this up, though, let me share a little secret with you. Remember how I always rave about my Netflix subscription? Well, my friend, there's a new kid on the block. It's the ChatGPT Plus subscription for $20 per month. Yes, it's a tad more than your daily latte, but trust me on this, the value you get is insane! It's like having your very own supercharged assistant at your fingertips, 24/7.

Remember, as with anything else, you get what you put into it. So, get out there, activate those plugins, and let the magic of ChatGPT Plus transform your productivity!

Time-Traveling through Pints: A Surprising Economic Tale from the Imperial War Museum

Hello, mate!

You won't believe this, but I recently time-traveled. Not literally, of course, but it sure felt like it when I visited the Imperial War Museum in London. I stumbled upon a head-scratching economic puzzle.

Imagine this - it's 1914, a pint of beer is just 2 pence and the monthly minimum wage is 5.6 pounds. Sounds like a dream, right? It was barely a dent in your earnings to indulge in a pub night.

Fast forward to our world today. Our dear friend, the pint, is more like a feather on our budget compared to housing or education expenses. The latter? They've skyrocketed, more like an uncontrolled firework during a New Year’s celebration.

So, while the cost of living in England might have us shaking our heads, at least we can take solace in the fact that enjoying a beer has become relatively cheaper over time.

But remember, savor that pint responsibly - every penny counts!

I'd love to hear your feedback on today's newsletter! Is there a specific type of content you'd like to see more of in the future? Since I'll be releasing a new edition each week, I welcome any suggestions or requests you may have. Looking forward to hearing your thoughts!

The Menu Magic is written by Francisco Cordoba, a Fintech entrepreneur living in London. MIT Innovator, Edmund Hillary Fellow, St. Gallen Leader of Tomorrow. Erasmus Mundus scholar. BA in Business. Zinc VC Entrepreneur in Residence.

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