The "generative" label on AI is misleading. Its true power for daily knowledge work lies not in creating artifacts, but in its superhuman ability to read, comprehend, and synthesize vast amounts of information—a far more frequent and fundamental task than writing.

The true power of AI for knowledge work is formulating unique prompts derived from obscure or cross-disciplinary knowledge. This allows users to extract novel ideas that standard queries miss, making deep, non-mainstream reading a key competitive advantage in the AI era.

Unlike traditional desk research which finds existing data, generative AI can infer responses for novel scenarios not present in training data. It builds an internal "model of human nature," allowing it to generate plausible answers to new questions, effectively creating research that was never done.

AI models operate in a 'probability space,' making predictions by interpolating from past data. True human creativity operates in a 'possibility space,' generating novel ideas that have no precedent and cannot be probabilistically calculated. This is why AI can't invent something truly new.

The future of search is not linking to human-made webpages, but AI dynamically creating them. As quality content becomes an abundant commodity, search engines will compress all information into a knowledge graph. They will then construct synthetic, personalized webpage experiences to deliver the exact answer a user needs, making traditional pages redundant.

Unlike chatbots that rely solely on their training data, Google's AI acts as a live researcher. For a single user query, the model executes a 'query fanout'—running multiple, targeted background searches to gather, synthesize, and cite fresh information from across the web in real-time.

Citing the president of the Santa Fe Institute, investor James Anderson argues that current AI is the "opposite of intelligence." It excels at looking up information from a vast library of data, but it cannot think through problems from first principles. True breakthroughs will require a different architecture and a longer time horizon.

While GenAI continues the "learn by example" paradigm of machine learning, its ability to create novel content like images and language is a fundamental step-change. It moves beyond simply predicting patterns to generating entirely new outputs, representing a significant evolution in computing.

The most significant recent AI advance is models' ability to use chain-of-thought reasoning, not just retrieve data. However, most business users are unaware of this 'deep research' capability and continue using AI as a simple search tool, missing its transformative potential for complex problem-solving.