Myth: You Need to Host Your Own #GenAI Model for Security or Privacy

Myth: You Need to Host Your Own #GenAI Model for Security or Privacy

Companies often overcomplicate their generative AI (gen) setups, and a major reason behind this is the frequent upselling of various generative AI tools and services. These businesses end up investing heavily without knowing what is genuinely beneficial. For instance, we witnessed a company spend tens of millions of dollars on gen services to create a retrieval-augmented chatbot that turned out to be disappointing.

Here's a crucial piece of advice: stop overcomplicating your setup by purchasing unnecessary services. According to research, companies achieve the best outcomes when they offer their employees access to a Large Language Model (LLM) and encourage them to experiment and develop based on user needs. Interestingly, these user needs often do not revolve around chatbots.

If you're utilizing cloud services, you likely already possess the necessary tools to get started while adhering to privacy laws, data constraints, and AI regulations. Simplifying your approach will significantly boost your success rate.

Keywords

• Generative AI
• Overcomplication
• Large Language Model (LLM)
• Retrival-augmented chatbot
• Cloud Services
• Privacy Laws
• Data Constraints
• AI Regulations
• Simplification

FAQ

Q: Why do companies overcomplicate their generative AI setups? A: Companies often get sold a variety of generative AI tools and services without fully understanding what they really need. This leads to overcomplicated setups and unnecessary expenditure.

Q: What is the downside of overcomplicating AI setups? A: Overcomplicated setups can result in significant financial waste and ineffective tools, as seen in the example of a company spending tens of millions on a retrieval-augmented chatbot that did not perform well.

Q: What is a more effective strategy for companies using generative AI? A: A more effective approach is to provide employees with access to a Large Language Model (LLM) and allow them to experiment and create solutions that users actually want.

Q: Do companies need to host their own AI model to comply with privacy laws and other regulations? A: No, if you are using cloud services, you typically have everything you need to start and adhere to privacy laws, data constraints, and AI regulations.

Q: How can companies achieve success with generative AI? A: By simplifying their approach and avoiding unnecessary services, companies can successfully navigate the complexities of generative AI.