Current AI can learn to predict complex patterns, like planetary orbits, from data. However, it struggles to abstract the underlying causal laws, such as Newtonian physics (F=MA). This leap to a higher level of abstraction remains a fundamental challenge beyond simple pattern recognition.

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While more data and compute yield linear improvements, true step-function advances in AI come from unpredictable algorithmic breakthroughs like Transformers. These creative ideas are the most difficult to innovate on and represent the highest-leverage, yet riskiest, area for investment and research focus.

Unlike traditional engineering, breakthroughs in foundational AI research often feel binary. A model can be completely broken until a handful of key insights are discovered, at which point it suddenly works. This "all or nothing" dynamic makes it impossible to predict timelines, as you don't know if a solution is a week or two years away.

A "software-only singularity," where AI recursively improves itself, is unlikely. Progress is fundamentally tied to large-scale, costly physical experiments (i.e., compute). The massive spending on experimental compute over pure researcher salaries indicates that physical experimentation, not just algorithms, remains the primary driver of breakthroughs.

Today's AI models are powerful but lack a true sense of causality, leading to illogical errors. Unconventional AI's Naveen Rao hypothesizes that building AI on substrates with inherent time and dynamics—mimicking the physical world—is the key to developing this missing causal understanding.

Current AI models resemble a student who grinds 10,000 hours on a narrow task. They achieve superhuman performance on benchmarks but lack the broad, adaptable intelligence of someone with less specific training but better general reasoning. This explains the gap between eval scores and real-world utility.

While a world model can generate a physically plausible arch, it doesn't understand the underlying physics of force distribution. This gap between pattern matching and causal reasoning is a fundamental split between AI and human intelligence, making current models unsuitable for mission-critical applications like architecture.

The most fundamental challenge in AI today is not scale or architecture, but the fact that models generalize dramatically worse than humans. Solving this sample efficiency and robustness problem is the true key to unlocking the next level of AI capabilities and real-world impact.

A critical weakness of current AI models is their inefficient learning process. They require exponentially more experience—sometimes 100,000 times more data than a human encounters in a lifetime—to acquire their skills. This highlights a key difference from human cognition and a major hurdle for developing more advanced, human-like AI.

A Harvard study showed LLMs can predict planetary orbits (pattern fitting) but generate nonsensical force vectors when probed. This reveals a critical gap: current models mimic data patterns but don't develop a true, generalizable understanding of underlying physical laws, separating them from human intelligence.

We perceive complex math as a pinnacle of intelligence, but for AI, it may be an easier problem than tasks we find trivial. Like chess, which computers mastered decades ago, solving major math problems might not signify human-level reasoning but rather that the domain is surprisingly susceptible to computational approaches.