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Lightcone · 3 min · Nov 8, 2024
GPT-4 demand showed when models became commercially useful
Sam Altman contrasts GPT-3's limited business impact with rising interest in GPT-3.5 and the rapid demand for GPT-4.
The episode’s best minutes
Full analysis- 13:42OpenAI bet on deep learning and scale before the field agreedPro pick 6 min
- 26:13GPT-4 demand showed when models became commercially useful3 min
- 40:33Current models may enable innovation sooner than expected4 min
- 5 more moments in the full episode
“with the possible exception of copywriting no great businesses were built on gpt3”
Sam Altmanat 27:20 · LightconeTakeaways
- GPT-3 was impressive, but few strong businesses came from it.
- Startups began wanting to buy GPT-3.5.
- GPT-4 brought an immediate surge in demand for access.
About this segment
Sam Altman contrasts GPT-3's limited business impact with rising interest in GPT-3.5 and the rapid demand for GPT-4. Customer response helped show the models had become useful products.
Sam Altman is CEO of OpenAI.
Co-founded OpenAI and has led it since 2019, overseeing ChatGPT's launch; formerly president of Y Combinator.

Garry Tan, Host · President & CEO, Y Combinator
Co-founded Posterous and Initialized Capital, an early Coinbase backer.
From “How To Build The Future: Sam Altman”, Nov 8, 2024. Watch the full episode
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Transcript
Transcribed by machine (Whisper) from the episode’s audio, so a word may be off here and there.
- 26:16
Heller from Case Text, I think of him as maybe, I mean, not surprisingly, a YC alum who got access to both 3, 3.5, and 4. And he described getting 4 as sort of the big moment revelation. Because 3.5 would still do yeah i mean it would hallucinate more than he could use in a legal setting and then with four it reached the point where if he chopped the prompts down small enough into workflow he could get it to do exactly what he wanted and he built you know huge test cases around it and then sold that company for 650 million dollars so it's uh you know i think of him as like one of the first to commercialize gpt4 in a relatively grand fashion i remember that conversation with him yeah with one gpt4 like that was one of the few moments in that thing where i was like okay we have to be really great on our hands um when we first started trying to
- 27:16
like sell gpt3 to founders they would be like it's cool it's doing something amazing it's an incredible demo but with the possible exception of copywriting no great businesses were built on gpt3 and then 3.5 came along and people startups like yc startups in particular started to do interesting like it no longer felt like we were pushing a boulder uphill it's like people actually wanted to buy the thing we were selling totally and then four we kind of like got the like just how many GPUs can you give me? Moment, like very quickly after giving people access. So we felt like, okay, we got something like really good on our hands. So you knew actually from your users then? Totally. Like when the...
- 28:00
model dropped itself and you got your hands on it. It was like, well, this, this is better. We were totally impressed then too. We had all of these like tests that we did on it that were very, it looked great. And it could just do these things that we were all super impressed by. Also, like when we were all just playing around with it and like getting samples back, I was like, wow, it's like, it can do this now. And there were, it can rhyme and it can like tell a funny joke, slightly funny joke and it can like you know do this and that and so it felt really great but you know you never really know if you have a hit product on your hands until you like put it in customers hands yeah you're always too impressed with your own work yeah and and so we were all excited about it we're like oh this is really quite good but until like the test happens it's
- 28:46
like the real test yeah yeah the real test is users yeah so there's some anxiety until that until that moment happens. Yeah. I wanted to switch gears a little bit. So before you created,