Brief news summary

AI firms like OpenAI and Anthropic are facing a shortage of high-quality data to train their models, which could hinder AI development. These companies typically use data like scientific papers, news articles, and Wikipedia posts to generate accurate responses from their language models. However, the demand for reliable data is expected to surpass the available supply by 2028. There are several reasons for this shortage, including the unsuitability of most online data for training, restrictions from major sources like news outlets and social media platforms, and privacy concerns from individuals. To address this challenge, companies are exploring alternative data sources such as YouTube video transcripts and synthetic data. Some AI models have faced criticism for producing inaccurate or nonsensical outputs due to data limitations. As companies navigate this issue, there may be a shift towards smaller AI models with alternative approaches for improvement.