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o3 - wow

AI Explained22:21

Transcription

the model announced tonight by open AI

called 03 could well be the final

reputation the artificial intelligence

was hitting a wall open AI it seems have

not so much as surmounted that wall they

have supplied evidence that the wall did

not in fact exist the real news of

tonight isn't for me the 03 just crushed

benchmarks designed to stand for decades

it's that open AI have shown that

anything you can Benchmark the O Series

of models can eventually beat let me

invite you to think of any challenge if

that challenge is ultimately susceptible

to reasoning and if the reasoning steps

are represented anywhere in the training

data the O Series of models will

eventually Crush that challenge yes it

might have cost 03 or open AI 350 Grand

in thinking time to beat some of these

benchmarks but costs alone will not hold

the tide at Bay for long yes I'll give

the caveats I always do and there are

quite a few but I must admit and I will

admit that this is a Monumental day in

Ai and pretty much everyone listening

should adjust their timelines before we

get to the absolutely crazy benchmark

scores what actually is 03 what did they

do well I've given more detail on the 0

series of models in previous videos on

this channel but let me give you a

30second summary I AI get the base model

to generate hundreds or potentially

thousands of candidate Solutions

following long chains of thought to get

to an answer a verifier model likely

based on the same base model then

reviews those answers and ranks them

looking for classic calculation mistakes

or reasoning mistakes that verifier

model of course is trained on thousands

of correct reasoning steps but here's

the kicker in scientific domains like

mathematics and coding you can know what

the correct answer is so when the system

generates a correct set of reasoning

steps steps that led to the correct

verified answer then the model as a

whole can be fine-tuned on those correct

steps this fundamentally shifts us from

predicting the next word to predicting

the series of tokens that will lead to

an objectively correct answer that

fine-tuning on just the correct answers

can be classed as reinforcement learning

so what then is 03 well more of the same

as one researcher at open aai told us

tonight 03 is powered by further scaling

up reinforcement learning Beyond 01 no

special ingredient added to 01 it seems

no secret Source no wall and that's why

I said in the intro if you can Benchmark

it the O Series of models can eventually

beat it what I don't want to imply

though is that this leap forward with 03

was entirely predictable yes I talked

about AI being on an exponential in my

first video of this year and I even

referenced verifiers and inference time

compute that's the fancy term for

thinking longer and generating more

candidate Solutions but I am in pretty

good company in not predicting this much

of a leap this soon let's briefly start

with Frontier Math and how did O3 do

this is considered today the toughest

mathematical Benchmark out there this is

a data set that consists of Novel

unpublished and also very hard extremely

hard yeah very very hard problems even

turn houses you know it would take

professional mathematicians hours or

even days to solve one of these problems

and today all offerings out there have

less than 2% accuracy on this Benchmark

and we're seeing with 03 in aggressive

test time settings we're able to get

over

25% yeah they didn't say this in the

announcement tonight but the darker part

of the bar the smaller part is the model

getting it right with only one attempt

the lighter part of the bar is when the

model gave lots of different solutions

but the one that came up the most most

often the consensus answer was the

correct answer we'll get to time and

cost in a moment but those details aside

the achievement of 25% is Monumental

here's what Terren to said at the

beginning of November these questions

are extremely challenging he's arguably

the smartest guy in the world by the way

I think that in the near term basically

the only way to solve them short of

having a real domain expert in the area

is by a combination of a semi-expert

like a grad student in a related field

pair with some combination of a modern

Ai and lots of other algebra packages

given that 03 doesn't rely on algebra

packages he's basically saying that O3

must be a real domain expert in

mathematics summing up Terren to said

that this Benchmark would resist AIS for

several years at least Sam Orman seem to

imply that they were releasing the full

03 perhaps in February or at least the

first quarter of next year and that

implies to me at least that they didn't

just bust every single GPU on the planet

to get this score but could never serve

it realistically to the public or to

phrase things another way we are not at

the limits of the compute we even have

available today the Next Generation 04

could be with us by quarter 2 of next

year 05 by quarter 3 here's what another

top open AI researcher said' 03 is very

performant more importantly progress

from 01 to03 was only 3 months which

shows how fast progress will be in the

new paradigm of reinforcement learning

on Chain of Thought to scale influence

compute way faster than the pre-training

Paradigm of a new model every 1 to two

years we may never get GPT 5 but get AGI

anyway of course safety testing May well

end up delaying the release to the

public of these new generations of

models and so there might end up being

an increasingly wide gap between what

the frontier Labs have available to use

themselves and what the public has what

about Google proof graduate level

science questions and as one openai

researcher put it take a moment of

silence for that Benchmark it was born

in November of 2023 and died just a year

later why rip GP QA well 03 gets

87.7% benchmarks are being crushed

almost as quickly as they can be created

then there's competitive coding where 03

establishes itself as the

175th highest scoring Global competitor

better at this coding competition than

99.95% of humans now you might say

that's competition coding that's not

real software engineering but then we

had sbench verified that Benchmark tests

real issues faced by real software

Engineers the verified part refers to

the fact that the Benchmark was combed

for only genuine questions with real

clear answers Claude 3.5 Sonic gets 49%

03

71.7% as foreseen you could argue by the

CEO of anthropic the creators of Claude

um the latest model we released Sonet

3.5 the new updated version it gets

something like 50% on sbench and sbench

is an example of a bunch of professional

real world software engineering tasks at

the beginning of the year I think the

state-of-the-art was three or 4% so in

10 months we've gone from 3% to 50% on

this task and I think in another year

we'll probably be at 90% I mean I don't

know but might might even be might even

be less than that before you ask by the

way yes these were unseen programming

competitions this isn't data

contamination again if you can Benchmark

it the O Series of models will

eventually or imminently Beat It

interestingly if you were following the

channel closely you might have guessed

that this was coming in code forces as

of this time last year Google produced

Alpha code 2 which in certain parts of

the code forces competition outperformed

99.5% of competition participants and

they went on prophetically we find that

performance increases roughly log

linearly with more samples yes of course

I'm going to get to Arc AGI but I just

want to throw in my first quick caveat

what happens if you can't Benchmark it

or at least it's harder to Benchmark or

the field isn't as susceptible to

reasoning steps how about personal

writing for example well as open AI

admitted back in September the O Series

of models starting with o1 VI is not

preferred on some natural language tasks

suggesting that is not well suited for

all use cases again then think of a task

is there an objectively correct answer

to that task the O Series will likely

soon beat it as O3 proof tonight that's

regardless of how difficult that task is

is the correctness of the answer or the

quality of the output more a matter of

taste however well that might take

longer to be what about core reasoning

though out of distribution

generalization what I started this

channel to cover back at the beginning

of last year forgetting about cost or

latency for a moment what we all want to

know is how intrinsically intelligent

are these models that will dictate

everything else and I will raise that

question through three examples to end

the video the first is compositionality

which came in a famous paper in nature

published last year essentially you test

models by making up a language full of

con Concepts like between or double or

colors and see if they can compose those

Concepts into a correct answer the

concepts are abstract enough that they

would of course never have been seen in

the training data the original GPT 4

flopped hard at this challenge in the

paper in nature and 01 PR mode gets

close but still can't do it after

thinking for 9 minutes it successfully

translates who as double but doesn't

quite understand Moro it thinks it's

something about symmetry but doesn't

grasp that it means between will 03

master compositionality I can't answer

that question because I can't yet test

it next is of course my own Benchmark

called Simple bench this video was

originally meant to be a summary of the

12 days I was going to show off VO2 and

talk about Gemini 2.0 flash thinking

experimental from Google the thinking

this time invisible chains of thought is

reminiscent then of the O Series of

models on the three runs we've done so

far it scores around 25% which is great

for such a small model as flash but

isn't quite as good as even their own

model Gemini experimental 126 for this

particular day of shipus we are though

putting Google to one side because open

AI have produced 03 so here's what I'm

looking out for in 03 to see whether it

would crush simple bench essentially it

needs to master spatial reasoning now

you can pause and read the question

yourself but I helpfully supplied 01

prom mode with this visual as well and

without even reading the question what

would you say would happen to this glove

if it fell off of the bike and let's say

I also supplied you with the speed of

the river well you might well say to me

thanks for all of those details but

honestly the glove is just going to fall

onto the road 01 doesn't even consider

that possibility and never does because

spatial data isn't really in its

training data nor is sophisticated

social reasoning data wait let me caveat

that of course we don't know what is in

the training data I just suspect it's

not in the training data of 01 at least

likely not in 03 but we don't know is

the base model for 03 oion or what would

have been GPT 4.5 GPT 5 open AI never

mentioned a shift in what the base model

was but they haven't denied it either

someone could make the argument that 03

is so good at something like physics

that it can Intuit it for itself what

would happen in spatial reasoning

scenarios maybe but we'd have to test it

what I do have to remind myself though

with simple bench and spatial reasoning

more generally is it doesn't strike me

perhaps as a fundamental limitation for

the model going forward as I said right

in the start of the intro to this video

open AI have fundamentally with 03

demonstrated the extent of a

generalizable approach to solving things

in other words with enough spatial

reasoning data and good spatial

reasoning benchmarks and some more of

that scaled up reinforcement learning I

think models would get great at this too

and frankly even if benchmarks like

simple bench Can last a little bit

longer because of a parity of spatial

reasoning data or text-based spatial

reasoning data not being enough you have

simulators like genesis that can model

physics and give models like O3 almost

infinite training data of lifelike

simulations you could almost imagine 03

404 being unsure of an answer spinning

up a simulation spotting what would

happen and then outputting the answer

and now at last what about Ark AGI I

made an entire video not that long ago

about how this particular challenge

created by France Chalet was a necessary

but not sufficient condition for AGI the

reason why 03 beating this Benchmark is

so significant is because each example

is supposed to be a novel test a

challenge in other words that's

deliberately designed not to be in any

training data past or present beating it

therefore has to involve at least a

certain level of reasoning in case

you're wondering by the way I think

reasoning is actually a spectrum I

Define it as deriving efficient

functions and composite functions llms

therefore always have done a form of

reasoning it's just that their functions

that they derive are not particularly

efficient more like convoluted

interpolations humans tend to spot

things quicker have more meta rules of

thumb and with these more meta rules of

thumb we can generalize better and solve

challenges that we haven't seen before

more efficiently hence why many humans

can see what has occurred to get from

input one to Output one input two to

Output two GPT 4 couldn't and even 01

couldn't really and for these specific

examples even 03 can't yes it might

surprise you there are still questions

that aren't crazy hard the 03 Can't Get

Right nevertheless 03 when given maximal

compute what I've calculated at being

350 Grand worth gets 88% and here's what

the author of that Benchmark said this

isn't just Brute Force yes it's very

expensive but these capabilities are new

territory and they demand serious

scientific attention we believe he said

said it represents a significant

breakthrough in getting AI to adapt to

novel tasks reinforced again and again

with those chains of thought or

reasoning steps that led it to correct

answers 03 has gotten pretty good at

deriving efficient functions in other

words it reasons pretty well now Chalet

has often mentioned in the past that

many of his smart friends scored around

98% in AR AGI but a fairly recent paper

from September showed that that when an

exhaustive study was done on average

human performance it was

64.2% on the public evaluation set

Chalet himself predicted 2 and a half

years ago that there wouldn't be a quote

pure Transformer based model that gets

greater than 50% on previously unseen

Arc tasks within a time limit of 5 years

again I want to give you a couple of

quick caveats before we get to his

assessment of whether o03 is Agi one

open AI researcher admitted that it took

16 hours to get 03 to get

87.5% with an increase rate of 3.5% an

hour to get to solved and another caveat

this time from his public statement on

03 open aai apparently requested that

they didn't publish the high compute

costs involved in getting that high

score but they kind of did anyway saying

the amount of compute was roughly 172 X

the low compute configuration if the low

compute high efficiency retail cost was

$22,000 by my calculation that's around

$350 Grand to get the

87.5% if your day job is solving Arc AGI

challenges and you're paid less than 350

Grand a year you're safe just for now

and of course if you're crazy worried by

cost there's always 03 mini which gets

close to the performance of 03 for a

fraction of the cost but more seriously

he said later in the statement but cost

performance will likely improve quite

dramatically over the next few months

and years so you should plan for these

capabilities to become competitive with

human work within a fairly short

timeline the challenge was always to get

models to reason the costs and latency

came second those can drop later with

more gpus More's law and algorithmic

efficiency it's the crushing of these

challenges that was the hard part cost

is not a barrier that's going to last

long now Chalet does go on to say that

03 still fails on some very easy tasks

and you might argue that that Arc

challenge I showed just earlier was such

an example the blocks move essentially

in the direction of the lines that

protrude out of them and he mentions

that he's crafting a so-called Ark AGI 2

Benchmark that he thinks will still pose

a significant challenge to o03

potentially reducing its score to under

30% sounds like he's almost already

tested it he goes on even at at high

compute while a smart human would still

be able to score over 95% with no

training notice that smart human rather

than average human though and also it's

kind of like 03 is under 30% but what

about 04 05 what if even 06 is released

before the end of 2025 that's maybe why

Mike nup the funer of the arc $1 million

prize says we want AGI benchmarks that

can endure many years I do not expect V2

will and so cryptically he says we're

also starting turning attention to V3

which will be very different that sets

up the crucial definition then of what

counts as AGI is it still not AGI as

long as there's any Benchmark that the

average human can outperform a model at

Chet's position at least as of tonight

is that he doesn't believe that o03 is

AI the reason because it's still

feasible to create unsaturated not

crushed interesting benchmarks that are

easy for humans yet impossible for AI

without involving specialist knowledge

in some we will have AGI when creating

such evals becomes outright impossible

the question is is that a fair marker

does it have to be impossible to create

such a benchmark one that humans can

beat easily yet is impossible for AI or

should the definition of AGI be when

it's harder to create a benchmark that's

easier for humans than it is for AI in a

way that seems like a fairer definition

such that there isn't just a single

Benchmark out there that's holding out

and the rest have fallen and we're still

saying not AGI that of course leaves the

question of is it harder to create a

benchmark that O3 can't solve and yet

it's easy for humans do we consider

different modalities can it spot the

lack of realism in certain AI generated

videos what kind of benchmarks are

allowed or are not allowed what about

benchmarks where we factor in how

quickly challenges are solved I alas

can't provide a satisfying answer for

those of you who want a simple yes no

AGI or not what I can do though is shine

a light on the significance of this

achievement again it's not about

particular benchmarks it's about an

approach that can be used again and

again on whatever Benchmark you create

and to whatever scale you can pay for

it's almost like they've shown that they

can defeat the very concept of a

benchmark yes of course I read the paper

released tonight by open AI on

deliberative alignment essentially they

use these same reasoning techniques to

get the models to be great at refusing

harmful requests while also not over

refusing innocent ones know Brown who is

one of the research leads 401 said that

Frontier math result actually had safety

implications he said even if llms are

dumb in some ways and of course I can't

yet test o03 on simple bench nor even 01

they haven't yet given me API access he

went on saturating evals like Frontier

math suggests AI is surpassing top human

intelligence in certain domains the

first implication of that he said is

that we may see a broad acceleration in

scientific research but then he went on

this also means that AI safety topics

like scalable oversight May soon stop

being hypothetical research in these

domains needs to be a priority for the

field scalable oversight in a ridiculous

nutshell is answering the question of

how essentially a dumber model or a

human can still have oversight over a

smarter model this then is one of the

co-creators of 03 saying we really need

to start focusing on safety it's perhaps

then more credible when open AI

researchers like John hman say this when

Sam and as researchers say AGI is coming

we aren't doing it to sell you Kool-Aid

a $2,000 subscription or to trick you to

invest in our next round it's actually

coming whatever you've made of o03

tonight let me know in the comments

personally can't wait to test it this

has been a big night in Ai and thank you

so much for joining me on it as always

would love to see you over on patreon

where I'll be continuing the discussion

and actually fairly soon releasing a

mini documentary on the Fateful year

2015 when open AI started but regardless

wherever you are have a wonderful day