Gerstner argues memory and context matter more than raw intelligence for AI assistants.
“Or would you like to have an assistant that's just above average intelligence, knows everything about you, and they can use the Internet?”
Gerstner argues personalized memory and internet access matter more than raw intelligence for AI assistants, favoring Apple's positioning.
“Would you rather have an assistant with the intelligence of like Einstein, but they have no access to the Internet and they don't know anything about your history?”
Gerstner estimates running a 7B model on-device requires 75 gigabytes of DRAM on phones.
“in order to do that, even a 7B model, you probably have to have, you know, 75 gigs of DRAM on your phone, right?”
Gerstner estimates Apple needs 75 gigs of DRAM on phones to run 7B on-device models.
“I think the question that Apple's probably struggling with, Bill, is in order to do that, even a 7B model, you probably have to have, you know, 75 gigs of DRAM on your phone, right?”
Gerstner says only 5% of Apple users can access Apple intelligence, requiring device upgrades.
“only 5% of Apple users today can access Apple intelligence. So they're going to have to upgrade these devices in order to play.”
Gerstner suspects OpenAI's integration with Apple is deeper than publicly disclosed, creating unequal competition.
“I suspect that the integration going on with OpenAI is deeper than what we heard about yesterday. Right? So I don't know that this is going to be everybody playing equal.”
Gerstner says only 5% of Apple users can access Apple Intelligence, requiring device upgrades.
“part of the reason, you know, that we like Apple is only 5% of Apple users today can access Apple intelligence. So they're going to have to upgrade these devices in order to play.”
Gerstner suggests Apple should acquire AI capabilities given their $2 trillion market cap and cash position.
“What's your opinion on the build it versus buy it debate around Apple? I feel like for $2,025,000,000,000, they should just buy it, just given how much cash they have”
Gerstner is asked about Apple evaluating Perplexity and other LLM providers for potential partnerships.
“I haven't heard your thoughts on the revelation that people inside Apple were kicking the tires at Perplexity and some of the other LLM providers and AI companies.”
Gerstner calls $450B Anthropic 2027 exit run rate too aggressive, sees $250B as achievable base case
“Too aggressive re Anthropic. Base case of $250 B ‘27 exit run rate (same size as MSFT & Meta) seems wild but achievable. $450 B (size of Apple & Google) seems too aggressive given compute & regulatory constraints. Margins also likely lumpy as big compute comes online. 🧐📈 https://t.co/UVbtDz2CSl”
Gerstner demonstrates one-click Apple Pay transfers to housekeeper's children's accounts that auto-sweep into fee-free S&P 500 index funds
“Housekeeper one click shares young kid’s accounts. I one click apple pay from debit card into her accounts. Next day money swept into fee free S&P 500 index - compounding for life. Reduce friction - unlock magic. Every child a shareholder! 🇺🇸🚀 https://t.co/2s65zxERth”
Gerstner expresses satisfaction that Invest America works better than he dreamed as a founder
“The feeling you get as a founder when you see & experience the thing in the wild that you dreamed about & toiled for - and it actually works even better than you dreamed! 🇺🇸🙏🇺🇸 @jgebbia @vladtenev”