11 October 2025

📉Graphical Representation: Matrices (Just the Quotes)

"The problem that still remains to be solved is that of the orderable matrix, that needs the use of imagination […] When the two components of a data table are orderable, the normal construction is the orderable matrix. Its permutations show the analogy and the complementary nature that exist between the algorithmic treatments and the graphical treatments." (Jacques Bertin, "Semiology of graphics" ["Semiologie Graphique"], 1967)

"The square has always had a no-nonsense sort of image. Stable, solid, and - well - square. Perhaps that's why it is the shape used in business visuals in those rare cases where a visual is even bothered with. Flip through most business books and you'll find precious few places for your eye to stop and your visual brain to engage. But when you do, the shape of the graphic, chart, matrix, table, or diagram is certainly square. It's a comfortable shape, which makes it a valuable implement in your kit of visual communication tools." (Terry Richey, "The Marketer's Visual Tool Kit", 1994)

"Characterizing a two-dimensional scatterplot is relatively easy, particularly with the full range of recently developed graphical enhancements at hand. However, standard patterns to watch for in three-dimensional plots are not as well understood as they are in many two-dimensional plots. We can certainly look for very general characteristics like curvature in three-dimensional plots, but it may not be clear how or if the curvature itself should be characterized. It is also possible to obtain useful insights into higher-dimensional scatterplots, but for the most part their interpretation must rely on lower-dimensional constructions. Similar statements apply to scatterplot matrices and various linked plots." (R Dennis Cook, "Regression Graphics: Ideas for Studying Regressions through Graphics", 1998)

"The scatterplot matrix shows all pairwise (bivariate marginal) views of a set of variables in a coherent display. One analog for categorical data is a matrix of mosaic displays showing some aspect of the bivariate relation between all pairs of variables. The simplest case shows the bivariate marginal relation for each pair of variables. Another case shows the conditional relation between each pair, with all other variables partialled out. For quantitative data this represents (a) a visualization of the conditional independence relations studied by graphical models, and (b) a generalization of partial residual plots. The conditioning plot, or coplot, shows a collection of partial views of several quantitative variables, conditioned by the values of one or more other variables. A direct analog of the coplot for categorical data is an array of mosaic plots of the dependence among two or more variables, stratified by the values of one or more given variables. Each such panel then shows the partial associations among the foreground variables; the collection of such plots shows how these associations change as the given variables vary." (Michael Friendly, "Extending Mosaic Displays: Marginal, Conditional, and Partial Views of Categorical Data", 199)

"Two types of graphic organizers are commonly used for comparison: the Venn diagram and the comparison matrix [...] the Venn diagram provides students with a visual display of the similarities and differences between two items. The similarities between elements are listed in the intersection between the two circles. The differences are listed in the parts of each circle that do not intersect. Ideally, a new Venn diagram should be completed for each characteristic so that students can easily see how similar and different the elements are for each characteristic used in the comparison." (Robert J. Marzano et al, "Classroom Instruction that Works: Research-based strategies for increasing student achievement, 2001)

"Largeness comes in different forms and has many different effects. Whereas some tasks remain easy, others become obstinately difficult. Largeness is not just an increase in dataset size. [...] Largeness may mean more complexity - more variables, more detail (additional categories, special cases), and more structure (temporal or spatial components, combinations of relational data tables). Again this is not so much of a problem with small datasets, where the complexity will be by definition limited, but becomes a major problem with large datasets. They will often have special features that do not fit the standard case by variable matrix structure well-known to statisticians." (Antony Unwin et al [in "Graphics of Large Datasets: Visualizing a Million"], 2006)

"One big advantage of parallel coordinate plots over scatterplot matrices. (i.e., the matrix of scatterplots of all variable pairs) is that parallel coordinate plots need less space to plot the same amount of data. On the other hand, parallel coordinate plots with p variables show only p - 1 adjacencies. However, adjacent variables reveal most of the information in a parallel coordinate plot. Reordering variables in a parallel coordinate plot is therefore essential." (Martin Theus & Simon Urbanek, "Interactive Graphics for Data Analysis: Principles and Examples", 2009) 

"Whereas charts generally focus on a trend or comparison, tables organize data for the reader to scan. Tables present data in an easy-read-format, or matrix. Tables arrange data in columns or rows so readers can make side-by-side comparisons. Tables work for many situations because they convey large amounts of data and have several variables for each item. Tables allow the reader to focus quickly on a specific item by scanning the matrix or to compare multiple items by scanning the rows or columns."  (Dennis K Lieu & Sheryl Sorby, "Visualization, Modeling, and Graphics for Engineering Design", 2009)

"With further similarities to small multiples, heatmaps enable us to perform rapid pattern matching to detect the order and hierarchy of different quantitative values across a matrix of categorical combinations. The use of a color scheme with decreasing saturation or increasing lightness helps create the sense of data magnitude ranking." (Andy Kirk, "Data Visualization: A successful design process", 2012)

"One problem for visualizing multiple views is that of laying out the plots. Indeed, there are some plots, such as scatterplot matrixes and trellis displays, that are formed just by arranging simpler plots according to certain rules. Scatterplot matrices, for example, arrange scatterplots side by side so that each variable in a dataset is graphed against the other variables, with the graphs being displayed as a row or a column of the matrix. This lets the user rapidly inspect all of the bivariate relationships among the variables, permitting the detection of outliers, nonlinearities, and other features of the data." (Forrest W Young et al, "Visual Statistics: Seeing data with dynamic interactive graphics", 2016)

"A useful way to think about tables and graphics is to visualize layers. Just as photographic files may be manipulated in photo editing software using layers, data presentations are constructed by imagining that layers of an image are placed one on top of another. There are three general layers that apply to visual data presentations: (a) a frame that is typically a rectangle or matrix, (b) axes and coordinate systems (for graphics), and (c) data presented as numbers or geometric objects." (John Hoffmann, "Principles of Data Management and Presentation", 2017)

"A heatmap is a visualization where values contained in a matrix are represented as colors or color saturation. Heatmaps are great for visualizing multivariate data" (data in which analysis is based on more than two variables per observation), where categorical variables are placed in the rows and columns and a numerical or categorical variable is represented as colors or color saturation." (Mario Döbler & Tim Großmann, "The Data Visualization Workshop", 2nd Ed., 2020)

🔭Data Science: Transfer Learning (Just the Quotes)

"[...] transfer learning allows a machine learning model to port the knowledge it has acquired during training to new tasks, extending the reach of the combination of computation and expertise having been used as fuel for the original model. Simply put, transfer learning can save training time and extend the usefulness of existing machine learning models. It is also an invaluable technique for tasks where the large amounts of training data typically required for training a model from scratch are not available." (Dipanjan Sarkar et al, "Hands-On Transfer Learning with Python", 2018)

"Transfer learning has immense potential and is a commonly required enhancement for existing learning algorithms. Yet, there are certain pertinent issues related to transfer learning that need more research and exploration. Apart from the difficulty of answering the questions of what, when, and how to transfer, negative transfer and transfer bounds present major challenges." (Dipanjan Sarkar et al, "Hands-On Transfer Learning with Python", 2018)

"Transfer learning is a machine learning (ML) technique where knowledge gained during the training of one set of ML problems can be used to train other similar types of problems." (Dipanjan Sarkar et al, "Hands-On Transfer Learning with Python", 2018)

"Transfer learning takes the process of learning one step further and more inline with how humans utilize knowledge across tasks. Thus, transfer learning is a method of reusing a model or knowledge for another related task. Transfer learning is sometimes also considered as an extension of existing ML algorithms. Extensive research and work is being done in the context of transfer learning and on understanding how knowledge can be transferred among tasks." (Dipanjan Sarkar et al, "Hands-On Transfer Learning with Python", 2018)

"In a nutshell, transfer learning refers to the machine learning paradigm in which an algorithm extracts knowledge from one or more application scenarios to help boost the learning performance in a target scenario. Compared to tra-ditional machine learning, which requires large amounts of well-defined training data as the input, transfer learning can be understood as a new learning paradigm." (Qiang Yang et al, "Transfer Learning", 2020)

"[...] in machine learning practice, we observe that we are often surrounded with lots of small-sized data sets, which are often isolated and fragmented. Many organizations do not have the ability to collect a huge amount of big data due to a number of constraints that range from resource limitations to organizations inter-ests, and to regulations and concerns for user privacy. This small-data challenge is a serious problem faced by many organizations applying AI technology to their problems. Transfer learning is a suitable solution for addressing this challenge be-cause it can leverage many auxiliary data and external models, and adapt them to solve the target problems." (Qiang Yang et al, "Transfer Learning", 2020)

"[...] transfer learning can make AI and machine learning systems more reliable and robust. It is often the case that, when building a machine learning model, one cannot foresee all future situations. In machine learning, this problem is of-ten addressed using a technique known as regularization, which leaves room for future changes by limiting the complexity of the models. Transfer learning takes this approach further, by allowing the model to be complex while being prepared for changes when they actually come." (Qiang Yang et al, "Transfer Learning", 2020)

"Transfer learning deals with how systems can quickly adapt themselves to new situations, new tasks and new environments. It gives machine learning systems the ability to leverage auxiliary data and models to help solve target problems when there is only a small amount of data available in the target domain. This makes such systems more reliable and robust, keeping the machine learning model faced with unforeseeable changes from deviating too much from expected performance. At an enterprise level, transfer learning allows knowledge to be reused so experience gained once can be repeatedly applied to the real world." (Qiang Yang et al, "Transfer Learning", 2020)

"Transfer learning (TL) and multi-task learning (MTL) methods reduce the amount of experience needed to train individual task models by reusing knowledge from other related tasks. This transferred knowledge can improve the training speed and model performance, as compared to learning the tasks in isolation following the classical machine learning pipeline. TL and MTL techniques typically select the relevant knowledge to transfer by modeling inter-task relationships using a shared representation, based on training data for each task." (Mohammad Rostami, "Transfer Learning Through Embedding Spaces", 2021)

"The goal of transfer learning is to improve learning quality and speed of the current ML algorithm through overcoming labeled data scarceness, avoiding redundant learning and model retraining, and using computational power resources efficiently. In particular, since deep neural networks are becoming dominant models in machine learning, training complex models with several millions of parameters has become a standard practice which makes model retraining expensive. Transfer learning can be very useful since labeling millions of data points is not practical for many real-world problems." (Mohammad Rostami, "Transfer Learning Through Embedding Spaces", 2021)

"AI is intended to create systems for making probabilistic decisions, similar to the way humans make decisions. […] Today’s AI is not very able to generalize. Instead, it is effective for specific, well-defined tasks. It struggles with ambiguity and mostly lacks transfer learning that humans take for granted. For AI to make humanlike decisions that are more situationally appropriate, it needs to incorporate context." (Jesús Barrasa et al, "Knowledge Graphs: Data in Context for Responsive Businesses", 2021)

"The idea behind transfer learning is that the pre-trained model has already learned a lot of information about the language and relationships between words, and this information can be used as a starting point to improve performance on a new task. Transfer learning allows LLMs to be fine-tuned for specific tasks with much smaller amounts of task-specific data than would be required if the model were trained from scratch. This greatly reduces the amount of time and resources needed to train LLMs." (Sinan Ozdemir, "Quick Start Guide to Large Language Models: Strategies and Best Practices for Using ChatGPT and Other LLMs", 2024) 

"Transfer learning is a technique used in machine learning to leverage the knowledge gained from one task to improve performance on another related task. Transfer learning for LLMs involves taking an LLM that has been pre-trained on one corpus of text data and then fine-tuning it for a specific 'downstream' task, such as text classification or text generation, by updating themodel’s parameters with task-specific data." (Sinan Ozdemir, "Quick Start Guide to Large Language Models: Strategies and Best Practices for Using ChatGPT and Other LLMs", 2024)

"Transfer learning is a technique that leverages pre-trained models to build upon existing knowledge for new tasks or domains. In the case of LLMs, this involves utilizing the pre-training to transfer general language understanding, including grammar and general knowledge, to particular domain-specific tasks. However, the pre-training may not be sufficient to understand the nuances of certain closed or specialized topics [...]" (Sinan Ozdemir, "Quick Start Guide to Large Language Models: Strategies and Best Practices for Using ChatGPT and Other LLMs", 2024)

10 October 2025

📉Graphical Representation: Ink (Just the Quotes)

"Co-ordinate ruling does not appear prominently on most original charts because the ruling is usually printed in some color of ink distinct from the curve itself. When, however, a chart is reproduced in a line engraving the co-ordinate lines come out the same color as the curve or other important data, and there may be too little contrast to assist the reader." (Willard C Brinton, "Graphic Methods for Presenting Facts", 1919)

"Correct emphasis is basic to effective graphic presentation. Intensity of color is the simplest method of obtaining emphasis. For most reproduction purposes black ink on a white page is most generally used. Screens, dots and lines can, of course, be effectively used to give a gradation of tone from light grey to solid black. When original charts are the subjects of display presentation, use of colors is limited only by the subject and the emphasis desired." (Anna C Rogers, "Graphic Charts Handbook", 1961)

"Graphical excellence is that which gives to the viewer the greatest number of ideas in the shortest time with the least ink in the smallest space." (Edward R Tufte, "The Visual Display of Quantitative Information", 1983)

"Graphical excellence is the well-designed presentation of interesting data - a matter of substance, of statistics, and of design. Graphical excellence consists of complex ideas communicated with clarity, precision, and efficiency. Graphical excellence is that which gives to the viewer the greatest number of ideas in the shortest time with the least ink in the smallest space. Graphical excellence is nearly always multivariate. And graphical excellence requires telling the truth about the data." (Edward R Tufte, "The Visual Display of Quantitative Information", 1983)

"The interior decoration of graphics generates a lot of ink that does not tell the viewer anything new. The purpose of decoration varies - to make the graphic appear more scientific and precise, to enliven the display, to give the designer an opportunity to exercise artistic skills. Regardless of its cause, it is all non-data-ink or redundant data-ink, and it is often chartjunk. " (Edward R Tufte, "The Visual Display of Quantitative Information", 1983)

"A convenient measure of the extent to which this practice is in use is Tufte's 'data-ink ratio'. This measure is the ratio of the amount of ink used in graphing the data to the total amount of ink in the graph. The closer to zero this ratio gets, the worse the graph. The notion of the data-ink ratio brings us to the second principle of bad data display." (Howard Wainer, "How to Display Data Badly", The American Statistician Vol. 38(2), 1984)

"Graphics are almost always going to improve as they go through editing, revision, and testing against different design options. The principles of maximizing data-ink and erasing generate graphical alternatives and also suggest a direction in which revisions should move." (Edward R Tufte, "Data-Ink Maximization and Graphical Design", Oikos Vol. 58 (2), 1990)

"Maximizing data ink (within reason) is but a single dimension of a complex and multivariate design task. The principle helps conduct experiments in graphical design. Some of those experiments will succeed. There remain, however, many other considerations in the design of statistical graphics - not only of efficiency, but also of complexity, structure, density, and even beauty." (Edward R Tufte, "Data-Ink Maximization and Graphical Design", Oikos Vol. 58 (2), 1990)

"This pie chart violates several of the rules suggested by the question posed in the introduction. First, immediacy: the reader has to turn to the legend to find out what the areas represent; and the lack of color makes it very difficult to determine which area belongs to what code. Second, the underlying structure of the data is completely ignored. Third, a tremendous amount of ink is used to display eight simple numbers." (Gerald van Belle, "Statistical Rules of Thumb", 2002)

"Graphical illustrations should be simple and pleasing to the eye, but the presentation must remain scientific. In other words, we want to avoid those graphical features that are purely decorative while keeping a critical eye open for opportunities to enhance the scientific inference we expect from the reader. A good graphical design should maximize the proportion of the ink used for communicating scientific information in the overall display." (Phillip I Good & James W Hardin, "Common Errors in Statistics" (and How to Avoid Them)", 2003)

"Aligning on data ink can be a powerful way to build relationships across charts. It can be used to obscure the lines between charts, making the composition feel more seamless. [....] Alignment paradigms can also influence the layout design needed. [...] The layout added to the alignment further supports this relationship." (Vidya Setlur & Bridget Cogley, "Functional Aesthetics for data visualization", 2022)

09 October 2025

🤖〽️Prompt Engineering: Copilot Unabridged (Part 107: The Rise of Autonomous AI: Learning, Reasoning, and Evolving)

Prompt Engineering Series
Prompt Engineering Series

Prompt: "write a post of 600 words that depicts the evolution of AI over next years related to its autonomy around topics like reinforcement learning, causal reasoning, and self-improving systems" 

Introduction

As we look ahead to the next decade, Artificial Intelligence (AI) is poised to undergo a profound transformation - from a tool that executes predefined tasks to an autonomous system capable of learning, reasoning, and evolving on its own. This shift is being driven by three foundational pillars: reinforcement learning, causal reasoning, and self-improving systems. Together, they are shaping a future where AI doesn’t just follow instructions - it understands, adapts, and innovates.

Reinforcement Learning: The Engine of Adaptive Behavior

Reinforcement learning (RL) has already demonstrated its power in mastering complex games like Go and StarCraft. But its true potential lies in real-world applications where environments are dynamic, uncertain, and require continuous adaptation.

In the coming years, RL will be central to developing AI agents that can operate autonomously in high-stakes domains - think autonomous vehicles navigating unpredictable traffic, robotic surgeons adapting to patient-specific anatomy, or financial agents optimizing portfolios in volatile markets. These agents learn by trial and error, receiving feedback from their environment and adjusting their strategies accordingly.

What sets RL apart is its ability to optimize long-term outcomes, not just immediate rewards. This makes it ideal for tasks that require planning, exploration, and balancing short-term sacrifices for long-term gains—hallmarks of intelligent behavior.

Causal Reasoning: From Correlation to Understanding

While traditional machine learning excels at identifying patterns, it often struggles with understanding why those patterns exist. This is where causal reasoning comes in. By modeling cause-and-effect relationships, AI can move beyond correlation to make more robust, generalizable decisions.

Causal AI will be critical in domains like healthcare, where understanding the root cause of a symptom can mean the difference between life and death. It will also play a pivotal role in policy-making, climate modeling, and scientific discovery - areas where interventions must be based on more than just statistical associations.

In the near future, we’ll see AI systems that can simulate counterfactuals (“What would happen if we changed X?”), identify hidden confounders, and make decisions that are not only data-driven but causally sound. This will lead to more trustworthy and explainable AI, capable of navigating complex, real-world scenarios with greater confidence.

Self-Improving Systems: AI That Evolves

Perhaps the most transformative development on the horizon is the emergence of self-improving AI systems. These are models that can iteratively refine themselves - learning from new data, adapting to novel situations, and even rewriting parts of their own code or architecture to become more efficient.

This concept, often referred to as recursive self-improvement, hints at a future where AI systems can autonomously enhance their capabilities without human intervention. While we are still in the early stages, foundational work in meta-learning (learning to learn) and neural architecture search is paving the way.

In practical terms, this means AI systems that become better over time at tasks like language understanding, robotics, or scientific research. Imagine a drug discovery AI that not only identifies promising compounds but also improves its own algorithms to accelerate future discoveries.

The Path Forward

The convergence of reinforcement learning, causal reasoning, and self-improvement is setting the stage for a new era of AI - one where machines are not just tools, but collaborators capable of independent thought and action. However, with great autonomy comes great responsibility.

As AI systems gain more control over decisions that impact human lives, ensuring alignment with human values, robust safety mechanisms, and transparent decision-making becomes paramount. We must invest in AI governance frameworks that prioritize ethical considerations, fairness, and accountability.

The next chapter of AI is not just about building smarter machines - it’s about building systems we can trust. Autonomous AI, when guided by thoughtful design and ethical foresight, has the potential to amplify human potential, solve complex global challenges, and unlock new frontiers of innovation.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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✏️James S Hodges - Collected Quotes

"A bad model is a combination of assertions, some factual, others conjectural, and others plainly false but convenient. [..]  By definition, a bad model does not give power to see-accurately, deeply, or at all-into the actual situa- tion, but only into the assertions embodied in the model. Thus, if the use of a bad model provides insight, it does so not by revealing truth about the world but by revealing its own assumptions and thereby causing its user to go learn something about the world." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"A management system driven by a bad model must not be tested by using the model as if it were true. By presumption, the model is a deficient picture of reality, and it presents the management system with the easiest possible test because it, unlike the cruel world, satisfies the system's assumptions. But a bad model can be used as a vehicle for a fortiori arguments in an evaluation of a system of which it is a part [...]" (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"A scale model is a bad model in the sense used here: It is grossly discrepant with reality, if only because it is far too small for anyone to live in. Nonetheless, it can do a good job of selling the idea-the project-of which it is but an illustration, by conveying aspects of the idea concretely." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"Just because a model is bad, however, does not mean it is useless. [...] A bad model can be used to construct correct paths from premises to conclusions, but because its relations to reality are questionable, it can only do so in a few ways-at least, ways that permit useful conclusions with respect to reality." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"Often, though, a policy or systems analyst is stuck with a bad model, that is, one that appeals to the analyst as adequately realistic but which is either: 1) contradicted by some data or is grossly implausible in some aspect it purports to represent, or 2) conjectural, that is, neither supported nor contradicted by data, either because data do not exist or because they are equivocal. [...] A model may have component parts that are not bad, but if, taken as a whole, it meets one of these criteria, it is a bad model." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"One might hope for a standard of consistency instead of a lack of inconsistency, but, as a practical matter, no one can make every consistency check, so a stingent lack of inconsistency is the most one can ask for. Even this need not be simple." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"Some readers have argued that the criticism implied by the term "bad models" is undeserved because they can be used appropriately in some cases. [...] If the logic works, the use is appropriate; if it fails, the use in inappropriate: (Cost effectiveness is a separate issue.) As for the pejorative connotation of the term bad model, perhaps we should admit that many useful models would be embarrassments to scientists, from whom we got the idea of a model, but whose job is to improve the match between models and reality." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"Sometimes the proprietors of a bad model claim that parts of it are facts, not just beliefs. Evaluation then amounts to determining if facts support the claims, and disciplines like statistics have tools for this task. The difficulty of using statistical tools will vary depending on the problem." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

"This stricture - that a bad model can only suggest-is stronger than it may appear. Bad models produce numbers, and thus present an unbearable temptation to use those numbers as if they do more than suggest. They cannot. If a model is bad as defined here, and the specific numbers it produces cannot be buttressed by some other arguments, then the numbers have no meaning except as illustration of the consequences that flow from the model's assumptions." (James S Hodges, "Six (or So) Things You Can Do with a Bad Model", 1991)

08 October 2025

🤖〽️Prompt Engineering: Copilot Unabridged (Part 106:The Future of AI - From Tools to Intelligent Companions

Prompt Engineering Series
Prompt Engineering Series

Prompt: "write a post of 600 words that depicts the evolution of AI over next years related to its integration around topics like Agentic AI, multimodal fusion, and ambient intelligence"

Introduction

Artificial Intelligence (AI) is rapidly evolving from a set of specialized tools into a pervasive, intelligent presence woven into the fabric of our daily lives. Over the next few years, three transformative trends - Agentic AI, Multimodal Fusion, and Ambient Intelligence - will redefine how we interact with machines, how machines understand us, and how they seamlessly integrate into our environments.

Agentic AI: From Assistants to Autonomous Agents

Agentic AI represents a shift from passive assistants to proactive, goal-driven entities capable of reasoning, planning, and acting independently. Unlike traditional AI systems that wait for user input, agentic AI can initiate tasks, make decisions, and adapt strategies based on changing contexts.

Imagine an AI that not only schedules your meetings but negotiates time slots with other participants, books venues, and even prepares relevant documents - all without being explicitly told. These agents will be capable of long-term memory, self-reflection, and learning from experience, making them more reliable and personalized over time.

In the coming years, we’ll see agentic AI embedded in enterprise workflows, healthcare diagnostics, and even personal productivity tools. These agents will collaborate with humans, not just as tools, but as partners - understanding goals, anticipating needs, and taking initiative.

Multimodal Fusion: Understanding the World Like Humans Do

Human cognition is inherently multimodal - we process language, visuals, sounds, and even touch simultaneously. AI is now catching up. Multimodal fusion refers to the integration of diverse data types (text, image, audio, video, sensor data) into unified models that can understand and generate across modalities.

Recent advances in large multimodal models (LMMs) have enabled AI to describe images, interpret videos, and even generate content that blends text and visuals. In the near future, this capability will become more refined and accessible. For instance, a multimodal AI could watch a security camera feed, detect anomalies, describe them in natural language, and alert relevant personnel - all in real time.

This fusion will also revolutionize creative industries. Designers, filmmakers, and educators will collaborate with AI that can understand their sketches, voice commands, and written instructions to co-create immersive experiences. The boundaries between media types will blur, giving rise to new forms of expression and interaction.

Ambient Intelligence: The Invisible Interface

Ambient intelligence is the vision of AI that’s always present, context-aware, and unobtrusively helpful. It’s the culmination of sensor networks, edge computing, and intelligent systems working in harmony to create environments that respond to human needs without explicit commands.

In smart homes, ambient AI will adjust lighting, temperature, and music based on mood and activity. In healthcare, it will monitor patients passively, detecting early signs of illness through subtle behavioral changes. In workplaces, it will optimize collaboration spaces, manage energy usage, and ensure safety - all without interrupting the flow of work.

The key to ambient intelligence is trust and transparency. As these systems become more autonomous, ensuring ethical behavior, privacy, and user control will be paramount. Advances in explainable AI and federated learning will help build systems that are both powerful and respectful of user agency.

The Road Ahead

The convergence of agentic AI, multimodal fusion, and ambient intelligence signals a future where AI is no longer confined to screens and commands. Instead, it becomes a seamless extension of our cognition and environment - an intelligent layer that enhances human capabilities.

However, this evolution also demands thoughtful governance. As AI becomes more autonomous and pervasive, we must address questions of accountability, bias, and societal impact. The challenge is not just technical but ethical: how do we ensure these systems serve humanity equitably and responsibly?

In the coming years, the most successful AI systems won’t just be the smartest - they’ll be the most empathetic, transparent, and aligned with human values. The future of AI is not just about machines that think, but about machines that understand, adapt, and collaborate.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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07 October 2025

🤖〽️Prompt Engineering: Copilot Unabridged (Part 105: The Future of AI - Vertical Intelligence, Federated Learning, and Edge Deployment)

Prompt Engineering Series
Prompt Engineering Series

Prompt: "write a post of 600 words that depicts the evolution of AI over next years related to its expansion around topics like Vertical AI, federated learning, and edge deployment"

Introduction

Artificial Intelligence (AI) is no longer a futuristic concept - it’s a transformative force reshaping industries, economies, and societies. As we look ahead to the coming years, AI is poised to evolve in ways that will make it more specialized, decentralized, and ubiquitous. Three key trends - Vertical AI, Federated Learning, and Edge Deployment - are set to define the next chapter of AI’s expansion.

Vertical AI: Specialization Over Generalization

While general-purpose AI models like GPT have captured headlines, the future lies in Vertical AI - systems tailored to specific industries or domains. Unlike horizontal AI, which aims to be broadly applicable, vertical AI is designed with deep domain expertise, enabling it to deliver more accurate, context-aware insights.

In healthcare, for example, vertical AI models trained on medical literature, patient data, and clinical guidelines can assist doctors in diagnosing rare diseases, predicting treatment outcomes, and personalizing care. In finance, AI systems are being developed to detect fraud, optimize trading strategies, and assess credit risk with unprecedented precision.

As businesses seek more targeted solutions, we’ll see a proliferation of vertical AI platforms across sectors like law, agriculture, manufacturing, and education. These systems will not only improve efficiency but also democratize access to expert-level decision-making.

Federated Learning: Privacy-Preserving Intelligence

One of the biggest challenges in AI development is data privacy. Traditional machine learning models rely on centralized data collection, which raises concerns about security and user consent. Enter Federated Learning - a decentralized approach that allows models to be trained across multiple devices or servers without transferring raw data.

This technique enables organizations to harness the power of AI while keeping sensitive information local. For instance, hospitals can collaborate to improve diagnostic models without sharing patient records. Smartphones can personalize user experiences without compromising privacy.

In the coming years, federated learning will become a cornerstone of ethical AI. It will empower industries to build smarter systems while complying with data protection regulations like GDPR and HIPAA. Moreover, as edge devices become more powerful, federated learning will seamlessly integrate with edge deployment strategies, creating a robust, privacy-first AI ecosystem.

Edge Deployment: Intelligence at the Source

AI has traditionally relied on cloud computing for processing and storage. However, the rise of Edge Deployment is shifting intelligence closer to the source - whether that’s a smartphone, sensor, drone, or autonomous vehicle. By processing data locally, edge AI reduces latency, enhances responsiveness, and minimizes bandwidth usage.

This is particularly critical in time-sensitive applications. In autonomous driving, for example, decisions must be made in milliseconds. Edge AI enables vehicles to analyze sensor data in real-time, improving safety and performance. In industrial settings, edge devices can monitor equipment, detect anomalies, and trigger maintenance alerts without relying on cloud connectivity.

As 5G networks expand and edge hardware becomes more capable, we’ll witness a surge in edge AI applications. From smart cities to remote healthcare, edge deployment will make AI more accessible, efficient, and resilient.

The Road Ahead

The convergence of vertical AI, federated learning, and edge deployment marks a paradigm shift in how we build and deploy intelligent systems. These trends will drive AI toward greater specialization, privacy, and real-time capability - qualities essential for the next generation of digital transformation.

However, this evolution also brings new challenges. Ensuring interoperability between vertical AI systems, maintaining model accuracy in federated environments, and securing edge devices will require innovative solutions and collaborative governance.

Ultimately, the future of AI is not just about smarter algorithms - it’s about creating systems that are context-aware, ethically grounded, and technologically agile. As we move forward, these advancements will redefine what it means to live and work in an AI-powered world.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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06 October 2025

🏭🗒️Microsoft Fabric: Git [Notes]

Disclaimer: This is work in progress intended to consolidate information from various sources for learning purposes. For the latest information please consult the documentation (see the links below)! 

Last updated: 6-Oct-2025

[Microsoft Fabric] Git

  • {def} an open source, distributed version control platform
    • enables developers commit their work to a local repository and then sync their copy of the repository with the copy on the server [1]
    • to be differentiated from centralized version control 
      • where clients must synchronize code with a server before creating new versions of code [1
    • provides tools for isolating changes and later merging them back together
  • {benefit} simultaneous development
    • everyone has their own local copy of code and works simultaneously on their own branches
      •  Git works offline since almost every operation is local
  • {benefit} faster release
    • branches allow for flexible and simultaneous development
  • {benefit} built-in integration
    • integrates into most tools and products
      •  every major IDE has built-in Git support
        • this integration simplifies the day-to-day workflow
  • {benefit} strong community support
    • the volume of community support makes it easy to get help when needed
  • {benefit} works with any team
    • using Git with a source code management tool increases a team's productivity 
      • by encouraging collaboration, enforcing policies, automating processes, and improving visibility and traceability of work
    • the team can either
      • settle on individual tools for version control, work item tracking, and continuous integration and deployment
      • choose a solution that supports all of these tasks in one place
        • e.g. GitHub, Azure DevOps
  • {benefit} pull requests
    • used to discuss code changes with the team before merging them into the main branch
    • allows to ensure code quality and increase knowledge across team
    • platforms like GitHub and Azure DevOps offer a rich pull request experience
  • {benefit} branch policies
    • protect important branches by preventing direct pushes, requiring reviewers, and ensuring clean build
      •  used to ensure that pull requests meet requirements before completion
    •  teams can configure their solution to enforce consistent workflows and process across the team
  • {feature} continuous integration
  • {feature} continuous deployment
  • {feature} automated testing
  • {feature} work item tracking
  • {feature} metrics
  • {feature} reporting 
  • {operation} commit
    • snapshot of all files at a point in time [1]
      •  every time work is saved, Git creates a commit [1]
      •  identified by a unique cryptographic hash of the committed content [1]
      •  everything is hashed
      •  it's impossible to make changes, lose information, or corrupt files without Git detecting it [1]
    •  create links to other commits, forming a graph of the development history [2A]
    • {operation} revert code to a previous commit [1]
    • {operation} inspect how files changed from one commit to the next [1]
    • {operation} review information e.g. where and when changes were made [1]
  • {operation} branch
    •  lightweight pointers to work in progress
    •  each developer saves changes to their own local code repository
      • there can be many different changes based on the same commit
        •  branches manage this separation
      • once work created in a branch is finished, it can be merged back into the team's main (or trunk) branch
    • main branch
      • contains stable, high-quality code from which programmers release
    • feature branches 
      • contain work in progress, which are merged into the main branch upon completion
      •  allows to isolate development work and minimize conflicts among multiple developers [2]
    •  release branch
      •  by separating the release branch from development in progress, it's easier to manage stable code and ship updates more quickly
  • if a file hasn't changed from one commit to the next, Git uses the previously stored file [1]
  • files are in one of three states
    • {state}modified
      • when a file is first modified, the changes exist only in the working directory
        •  they aren't yet part of a commit or the development history
      •  the developer must stage the changed files to be included in the commit
      •  the staging area contains all changes to include in the next commit
    •  {state}committed
      •  once the developer is happy with the staged files, the files are packaged as a commit with a message describing what changed
        •  this commit becomes part of the development history
    •  {state}staged
      •  staging lets developers pick which file changes to save in a commit to break down large changes into a series of smaller commits
        •   by reducing the scope of commits, it's easier to review the commit history to 
  • {best practice} set up a shared Git repository and CI/CD pipelines [2]
    • enables effective collaboration and deployment in PBIP [2]
    • enables implementing version control in PBIP [2]
      • it’s essential for managing project history and collaboration [2]
      • allows to track changes throughout the model lifecycle [2]
      • allows to enable effective governance and collaboratin
    •  provides robust version tracking and collaboration features, ensuring traceability
  • {best practice} use descriptive commit messages [2]
    • allows to ensure clarity and facilitate collaboration in version control [2]
  • {best practice} avoid sharing Git credentials [2]
    • compromises security and accountability [2]
      •  can lead to potential breaches [2]
  • {best practice} define a naming conventions for files and communicated accordingly [2]
  • {best practice} avoid merging changes directly into the master branch [2]
    • {risk} this can lead to integration issues [2]
  • {best practice} use git merge for integrating changes from one branch to another [2]
    • {benefit} ensures seamless collaboration [2]
  • {best practice} avoid skipping merges [2]
    • failing to merge regularly can lead to complex conflicts and integration challenges [2]
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References:
[1] Microsoft Learn (2022) DeveOps: What is Git? [link]
[2] M Anand, Microsoft Fabric Analytics Engineer Associate: Implementing Analytics Solutions Using Microsoft Fabric (DP-600), 2025 

Acronyms:
PBIP - Power BI Project
CI/CD - Continuous Integration and Continuous Deployment
IDE - Integrated Development Environments
 

🤖〽️Prompt Engineering: Copilot Unabridged (Part 104: Formalizing Intelligence in Artificial Intelligence)

Prompt Engineering Series
Prompt Engineering Series

Prompt: "write a post of 600 words on how intelligence in AI can be formalized"

Introduction

Artificial Intelligence (AI) has rapidly evolved from rule-based systems to deep learning models capable of complex reasoning, perception, and decision-making. Yet, despite these advances, the concept of 'intelligence' in AI remains elusive and often loosely defined. Formalizing intelligence is essential not only for benchmarking progress but also for designing systems that exhibit predictable and interpretable behavior. This post explores how intelligence in AI can be formalized, drawing from computational theory, cognitive science, and mathematical frameworks.

1. Defining Intelligence

At its core, intelligence can be described as the ability to achieve goals in a wide range of environments. This definition, proposed by Shane Legg and Marcus Hutter, is one of the most widely accepted in the AI research community. It emphasizes adaptability, generalization, and goal-oriented behavior - traits that distinguish intelligent agents from narrow, task-specific systems.

2. The AIXI Model

One of the most ambitious attempts to formalize intelligence is the AIXI model, developed by Hutter. AIXI combines Solomonoff induction (a formal theory of prediction) with sequential decision theory. It defines an agent that maximizes expected reward in any computable environment. While AIXI is incomputable in practice, it serves as a theoretical ideal for general intelligence. It provides a mathematical framework that captures learning, planning, and decision-making in a unified model.

3. Computational Rationality

Another approach to formalizing intelligence is through computational rationality, which models intelligent behavior as the outcome of optimizing decisions under resource constraints. This framework acknowledges that real-world agents (including humans and machines) operate with limited time, memory, and computational power. By incorporating these constraints, computational rationality bridges the gap between idealized models and practical AI systems.

4. Information-Theoretic Measures

Intelligence can also be quantified using information theory. Concepts like entropy, mutual information, and Kolmogorov complexity help measure the efficiency and generality of learning algorithms. For example, an intelligent system might be one that can compress data effectively, discover patterns with minimal prior knowledge, or adapt to new tasks with minimal retraining. These metrics provide objective ways to compare different AI systems.

5. Benchmarking and Evaluation

Formalization also involves creating standardized benchmarks. Datasets like ImageNet, GLUE, and SuperGLUE have helped quantify progress in specific domains like vision and language. More recently, multi-task and generalization benchmarks (e.g., BIG-bench, ARC) aim to evaluate broader cognitive capabilities. These benchmarks are crucial for testing whether AI systems exhibit traits of general intelligence, such as transfer learning, abstraction, and reasoning.

6. Ethical and Interpretability Considerations

Formalizing intelligence isn't just a technical challenge - it has ethical implications. A well-defined notion of intelligence can help ensure that AI systems behave safely and transparently. For instance, interpretability frameworks like SHAP or LIME aim to explain model decisions, which is essential for trust and accountability. Formal models also support value alignment, ensuring that intelligent agents act in accordance with human values.

7. Toward Artificial General Intelligence (AGI)

The ultimate goal of formalizing intelligence is to guide the development of Artificial General Intelligence (AGI) - systems that can perform any intellectual task a human can. While current AI excels in narrow domains, formal models like AIXI, computational rationality, and information-theoretic approaches provide blueprints for building more general, adaptable agents.

Conclusion

Formalizing intelligence in AI is a multidisciplinary endeavor that blends theory with practice. It involves defining what intelligence means, modeling it mathematically, and evaluating it empirically. As AI systems become more capable and autonomous, having a rigorous understanding of intelligence will be key to ensuring they are safe, reliable, and aligned with human goals.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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03 October 2025

🤖〽️Prompt Engineering: Copilot Unabridged (Part 103: Building the Bedrock - What’s Needed for the Future of AI)

Prompt Engineering Series
Prompt Engineering Series

Prompt: "write a post of 600 words on what is needed for creating a foundation for the further development of AI"

Introduction

Artificial Intelligence (AI) has rapidly evolved from a niche academic pursuit into a transformative force reshaping industries, societies, and everyday life. Yet, as AI systems grow more powerful and pervasive, the urgency to establish a robust foundation for their continued development becomes paramount. Much like thermodynamics emerged to explain the steam engine, we now need a scientific, ethical, and infrastructural framework to guide the future of intelligent systems.

1. Theoretical Understanding of Intelligence

At the heart of AI’s future lies a fundamental question: what is intelligence, and how can it be formalized? Despite the success of deep learning, we still lack a comprehensive theory that explains why certain architectures work, how generalization occurs, and what the limits of learning are. Researchers like Yann LeCun have called for an equivalent of thermodynamics for intelligence - a set of principles that can explain and predict the behavior of intelligent systems. This requires interdisciplinary collaboration across mathematics, neuroscience, cognitive science, and computer science to build a unified theory of learning and reasoning.

2. Robust and Transparent Infrastructure

AI development today is often fragmented, with tools, frameworks, and models scattered across platforms. To scale AI responsibly, we need standardized, interoperable infrastructure that supports experimentation and enterprise deployment. Initiatives like the Microsoft Agent Framework [1] aim to unify open-source orchestration with enterprise-grade stability, enabling developers to build multi-agent systems that are secure, observable, and scalable. Such frameworks are essential for moving from prototype to production without sacrificing trust or performance.

3. Trustworthy and Ethical Design

As AI systems increasingly influence decisions in healthcare, finance, and law, trustworthiness becomes non-negotiable. This includes:

  • Fairness: Ensuring models do not perpetuate bias or discrimination.
  • Explainability: Making decisions interpretable to users and regulators.
  • Safety: Preventing harmful outputs or unintended consequences.
  • Privacy: Respecting user data and complying with regulations.

The Fraunhofer IAIS White Paper [2] on Trustworthy AI outlines the importance of certified testing methods, ethical design principles, and human-centered development. Embedding these values into the foundation of AI ensures that innovation does not come at the cost of societal harm.

4. Global Collaboration and Regulation

AI is a global endeavor, but its governance is often fragmented. The European Union’s AI Act, for example, sets a precedent for regulating high-risk applications, but international alignment is still lacking. To create a stable foundation, nations must collaborate on shared standards, data governance, and ethical norms. This includes open dialogue between governments, academia, industry, and civil society to ensure that AI development reflects diverse values and priorities.

5. Investment in Research and Education

The future of AI depends on a pipeline of skilled researchers, engineers, and ethicists. Governments and institutions must invest in:

  • Basic research into learning theory, symbolic reasoning, and neuromorphic computing.
  • Applied research for domain-specific AI in climate science, medicine, and education.
  • Education and training programs to democratize AI literacy and empower the next generation.

Initiatives like the Helmholtz Foundation Model Initiative [3] exemplify how strategic funding and interdisciplinary collaboration can accelerate AI innovation while addressing societal challenges.

Conclusion

Creating a foundation for the further development of AI is not just a technical challenge - it’s a philosophical, ethical, and societal one. It requires a shift from building tools to building understanding, from isolated innovation to collaborative stewardship. If we succeed, AI can become not just a powerful technology, but a trusted partner in shaping a better future.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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References
[1] Microsoft (2025) Introducing Microsoft Agent Framework: The Open-Source Engine for Agentic AI Apps [link]
[2] Sebastian Schmidt et al (2024) Developing trustworthy AI applications with foundation models [link]
[3] Helmholtz AI (2025) Helmholtz Foundation Model Initiative

30 September 2025

🤖〽️Prompt Engineering: Copilot Unabridged (Part 102: Mapping the Next Decade of AI - A Journey Through Innovation)

Prompt Engineering Series
Prompt Engineering Series

Prompt: "write a post of 600 words that depicts a map that reflects the evolution of AI for the next 10 years"

Introduction

Artificial Intelligence (AI) is no longer a distant dream - it’s a living, breathing force reshaping industries, societies, and even our sense of self. As we look ahead to the next ten years, the evolution of AI can be visualized as a dynamic map, charting a journey through five transformative landscapes: Foundation, Expansion, Integration, Autonomy, and Reflection.

Phase 1: Foundation (2025–2026)

We begin in the foothills of Foundation, where AI continues to solidify its core capabilities. Large language models, multimodal systems, and generative AI are refined for reliability, safety, and scalability.

  • Focus Areas: Model alignment, data efficiency, and ethical guardrails.
  • Key Players: Tech giants like Microsoft, OpenAI, Google, and emerging startups.
  • Milestones: AI becomes embedded in productivity tools, education platforms, and customer service systems.

This phase sets the groundwork for trust and usability, ensuring that AI is not just powerful - but responsible.

Phase 2: Expansion (2026–2028) [>>

As we ascend into Expansion, AI spreads across domains like healthcare, law, finance, and agriculture. Specialized models emerge, trained on domain-specific data to deliver expert-level insights.

  • Focus Areas: Vertical AI, federated learning, and edge deployment.
  • Key Trends: AI-powered diagnostics, legal research assistants, and autonomous farming systems.
  • Challenges: Data privacy, regulatory frameworks, and workforce adaptation.

This is the era of AI democratization, where access and utility grow exponentially.

Phase 3: Integration (2028–2030)

Now we enter the bustling crossroads of Integration, where AI becomes deeply woven into the fabric of daily life. Human-AI collaboration reaches new heights, with systems that anticipate needs, adapt to preferences, and operate seamlessly across devices.

  • Focus Areas: Agentic AI, multimodal fusion, and ambient intelligence.
  • Examples: Personal AI copilots, smart cities, and AI-enhanced creativity tools.
  • Ethical Questions: How much autonomy should AI have? What boundaries must be drawn?

This phase marks a shift from tool to partner, as AI begins to co-author our experiences.

Phase 4: Autonomy (2030–2033)

In the highlands of Autonomy, AI systems gain the ability to make complex decisions independently. Autonomous agents manage logistics, negotiate contracts, and even conduct scientific research.

  • Focus Areas: Reinforcement learning, causal reasoning, and self-improving systems.
  • Breakthroughs: AI-led drug discovery, decentralized governance, and synthetic biology.
  • Risks: Misalignment, unintended consequences, and concentration of power.

Here, the map becomes more unpredictable - AI is no longer just reactive, but proactive, shaping outcomes with minimal human input.

Phase 5: Reflection (2033–2035)

Finally, we reach the summit: Reflection. Society begins to grapple with the philosophical, cultural, and existential implications of AI. What does it mean to be human in an age of intelligent machines?

  • Focus Areas: AI ethics, digital rights, and human-AI symbiosis.
  • Cultural Shifts: New forms of art, education, and governance emerge.
  • Global Dialogue: Nations collaborate on AI treaties, safety protocols, and shared values.

This phase is not just about technology - it’s about identity, values, and the future we choose to build.

The Road Ahead

This map is not linear - it’s a living terrain shaped by innovation, regulation, and imagination. Detours will occur. Some paths may converge, others may diverge. But one thing is clear: the next decade of AI will be defined not just by what we build, but by how we navigate it.

So as we set out on this journey, let’s carry not just tools - but wisdom. Not just ambition-but empathy. Because the future of AI is not just a destination - it’s a reflection of us.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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25 September 2025

🤖〽️Prompt Engineering: Copilot Unabridged (Part 101: Why AI Is Not an Investment Bubble)

Prompt Engineering Series
Prompt Engineering Series


Prompt: "write a post of 600 words on why AI is not an investment bubble"

Introduction

Every few decades, a technology emerges that reshapes industries, redefines productivity, and rewires the way we live. Artificial Intelligence (AI) is one of those technologies. While skeptics warn of an investment bubble - comparing AI to the dot-com crash or crypto hype - the reality is far more grounded. AI is not a speculative fad; it’s a foundational shift in how businesses operate, how people interact with machines, and how knowledge is created.

Here’s why AI is not an investment bubble, but a long-term transformation.

1. Real Revenue, Real Products

Unlike past bubbles where companies were valued on vague promises, today’s AI leaders are generating substantial revenue. Microsoft, Google, NVIDIA, and OpenAI are not just building demos - they’re delivering enterprise-grade tools, cloud services, and developer platforms that are already embedded in workflows across industries.

From customer service automation to predictive analytics in supply chains, AI is solving real problems. Companies aren’t investing in hype - they’re investing in efficiency, insight, and competitive advantage.

2. Ubiquity Across Sectors

AI isn’t confined to one niche. It’s being adopted in healthcare (diagnostics, drug discovery), finance (fraud detection, algorithmic trading), manufacturing (predictive maintenance, robotics), and education (personalized learning). This cross-sector penetration is a hallmark of durable innovation.

When a technology becomes infrastructure - like electricity or the internet - it’s no longer a bubble. AI is heading in that direction, becoming a layer that powers everything from mobile apps to industrial systems.

3. Tangible Productivity Gains

AI is not just about automation - it’s about augmentation. Tools like Copilot, ChatGPT, and GitHub Copilot are helping professionals write code faster, draft documents, analyze data, and make decisions with greater precision. These aren’t theoretical benefits; they’re measurable improvements in productivity.

McKinsey estimates that generative AI could add trillions of dollars in value annually across the global economy. That’s not bubble talk - that’s economic transformation.

4. Infrastructure Is Catching Up

One reason past tech bubbles burst was the lack of supporting infrastructure. In the early 2000s, broadband wasn’t ready for streaming. Crypto lacked regulatory clarity and real-world use cases. AI, however, is supported by robust cloud platforms, powerful GPUs, and scalable data pipelines.

The ecosystem is mature enough to support widespread deployment. And with continued investment in chips, data centers, and edge computing, AI’s backbone is only getting stronger.

5. Regulatory Momentum, Not Paralysis

Governments are actively engaging with AI - not to shut it down, but to guide its development. The EU AI Act, U.S. executive orders, and global frameworks are creating guardrails for ethical use, transparency, and safety. This regulatory clarity encourages responsible innovation and long-term investment.

Rather than stifling growth, regulation is helping legitimize AI as a serious, sustainable field.

6. Investor Sophistication

Today’s investors are more data-driven and cautious than during previous bubbles. Venture capital firms are scrutinizing technical feasibility, market fit, and monetization strategies. Public markets are rewarding companies with real AI capabilities - not just those slapping 'AI' onto their pitch decks.

The capital flowing into AI is being deployed strategically, not blindly. That’s a sign of maturity, not mania.

Conclusion: A New Industrial Era

AI is not a bubble - it’s the beginning of a new industrial era. Like electricity, the internet, and mobile computing before it, AI is becoming a general-purpose technology. It’s not immune to hype or missteps, but its core value is undeniable.

Investors, businesses, and governments are betting on AI not because it’s trendy, but because it’s transformative. And while some ventures may fail, the overall trajectory is clear: AI is here to stay, and its impact will be profound.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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24 September 2025

🤖〽️Prompt Engineering: Copilot Unabridged (Part 100: Why AI Is an Investment Bubble)

Prompt Engineering Series
Prompt Engineering Series

Prompt: "write a post of 600 words on why AI is an investment bubble"

Introduction

Artificial Intelligence (AI) is the buzzword of the decade. From chatbots to autonomous vehicles, investors are pouring billions into AI startups, infrastructure, and research. Stock prices of AI-adjacent companies have soared, venture capital is flowing freely, and headlines proclaim a technological revolution. But beneath the hype lies a growing concern: AI may be the next big investment bubble.

Much like the dot-com boom of the late 1990s, the AI frenzy is driven more by speculation than substance. Here’s why the current wave of AI investment may be inflating a bubble that’s bound to burst.

1. Valuations Detached from Reality

Many AI startups are being valued at billions despite having little to no revenue, unproven business models, or products still in development. Investors are betting on potential rather than performance. This speculative behavior mirrors past bubbles - where companies were funded not for what they had built, but for what they promised to build.

In some cases, companies with minimal AI capabilities are rebranding themselves as 'AI-powered' to attract funding. The term 'AI' has become a magnet for capital, regardless of technical depth or market viability.

2. Overpromising, Underdelivering

AI is powerful - but it’s not magic. Many investors and executives misunderstand its limitations. They expect general intelligence, flawless automation, and instant productivity gains. In reality, most AI systems are narrow, brittle, and require massive data and compute resources to function.

The gap between expectation and reality is widening. When AI fails to deliver on inflated promises -whether in healthcare, finance, or customer service - disillusionment sets in. This pattern of hype followed by disappointment is a classic bubble indicator.

3. Unsustainable Infrastructure Costs

Training large AI models requires enormous computational power, energy, and water. The cost of maintaining data centers and GPUs is skyrocketing. While tech giants can absorb these expenses, smaller players cannot. Many startups are burning through cash just to keep their models running.

This creates a fragile ecosystem where profitability is elusive. If funding dries up or operational costs spike, many AI ventures may collapse under their own weight.

4. Herd Mentality and Fear of Missing Out (FOMO) 

The AI gold rush is fueled by fear of missing out. Investors don’t want to be left behind, so they chase deals without due diligence. This herd mentality inflates valuations and distorts market signals.

When too much capital chases too few viable ideas, bubbles form. Eventually, reality catches up - and the correction can be brutal.

5. Regulatory Uncertainty

Governments around the world are scrambling to regulate AI. From data privacy to algorithmic bias, the legal landscape is shifting. New rules could restrict deployment, increase compliance costs, or ban certain applications altogether.

This regulatory uncertainty adds risk to AI investments. Companies built on shaky ethical or legal ground may find themselves suddenly nonviable.

Conclusion: Innovation vs. Inflation

AI is not a scam - it’s a transformative technology with real potential. But the current investment climate is inflating expectations beyond what the technology can sustainably deliver. Like all bubbles, it’s driven by emotion, speculation, and a distorted sense of urgency.

When the dust settles, many overhyped ventures will vanish. But the survivors - those with real value, ethical foundations, and sustainable models - will shape the future of AI.

Investors must distinguish between innovation and inflation. Because in the world of AI, not every 'intelligent' bet is a smart one.

Just try the prompt on Copilot or your favorite AI-powered assistant! Have you got a different/similar result? How big or important is the difference? Any other thoughts?
Just share the link to the post with me and I'll add it to this post as a resource!

Disclaimer: The whole text was generated by Copilot (under Windows 11) at the first attempt. This is just an experiment to evaluate feature's ability to answer standard general questions, independently on whether they are correctly or incorrectly posed. Moreover, the answers may reflect hallucinations and other types of inconsistent or incorrect reasoning.

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