Learn More about Lumida ETF
Powered by LumidaWealth.com
Lumida News
  • Home
  • EarningsNEW
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Macro
    • Markets
    • Real Estate
  • Lifestyle
    • Family Office
    • Health and Longevity
  • Themes
    • Aging & Longevity
    • AI
    • CRE
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
  • About Us
No Result
View All Result
Lumida News
  • Home
  • EarningsNEW
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Macro
    • Markets
    • Real Estate
  • Lifestyle
    • Family Office
    • Health and Longevity
  • Themes
    • Aging & Longevity
    • AI
    • CRE
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
  • About Us
No Result
View All Result
Lumida News
No Result
View All Result
  • Lumida Wealth
  • Lumida Ledger
  • LUMIDA ETF
  • About Us
Home Themes AI

AI Models Are Powerful, But They’re Not “Thinking” Like Humans, Researchers Say

by Team Lumida
April 26, 2025
in AI
Reading Time: 5 mins read
A A
0
China’s AI Startups Challenge Global Leaders Amid U.S. Trade Curbs

"Artificial Intelligence 2017 San Francisco" by O'Reilly Conferences is licensed under CC BY-NC 2.0

Share on TelegramShare on TwitterShare on FacebookShare on LinkedinShare on Whatsapp

Key Takeaways:

Powered by lumidawealth.com

  • AI models like ChatGPT and others simulate intelligence by memorizing vast “bags of heuristics” (problem-solving shortcuts) rather than reasoning like humans.
  • Research shows AI struggles with flexibility, relying on cobbled-together rules rather than building efficient mental models of the world.
  • Examples include AI’s flawed navigation of Manhattan, where it memorized turn-by-turn directions but failed when detours were introduced, and its inefficient methods for solving math problems.
  • AI’s reliance on massive datasets and memorization explains why models require enormous amounts of data and processing power compared to humans, who learn through reasoning and fewer examples.
  • While AI’s performance may be plateauing, researchers believe understanding its limitations can lead to better training methods and more trustworthy systems.

What Happened?

Despite the impressive capabilities of AI models like ChatGPT, researchers argue that these systems are far from achieving human-like intelligence. Instead of reasoning like humans, AI relies on memorizing vast numbers of rules and applying them selectively. This approach, while effective for specific tasks, limits AI’s flexibility and adaptability.

For example, a study on AI’s navigation of Manhattan revealed that the model memorized turn-by-turn directions but created an inaccurate mental map of the city, including impossible routes. When researchers introduced detours, the AI’s performance dropped significantly, highlighting its inability to adapt to new situations.

Similarly, AI’s approach to math involves memorizing separate rules for different ranges of numbers, rather than applying general principles. This inefficiency underscores the limitations of current AI architectures, which require massive datasets and processing power to function.


Why It Matters?

The findings challenge the notion that AI is close to achieving artificial general intelligence (AGI), or human-level intelligence. While AI models excel at specific tasks, their reliance on memorization and lack of reasoning make them less adaptable than humans.

Understanding these limitations is crucial for improving AI systems. Researchers believe that addressing the inefficiencies in how AI “thinks” could lead to more accurate, trustworthy, and controllable models. This is particularly important as AI becomes increasingly integrated into everyday life and critical industries.

The research also highlights the need for realistic expectations about AI’s capabilities. While some industry leaders predict rapid advancements toward AGI, the current evidence suggests that AI’s progress may be leveling off, with further breakthroughs requiring fundamental changes in how models are designed and trained.


What’s Next?

AI researchers are focusing on “mechanistic interpretability,” a field that aims to understand how AI models process information and solve problems. Insights from this research could lead to new training methods that make AI more efficient and adaptable.

Meanwhile, developers are exploring ways to refine existing models to improve their accuracy and reliability. As AI continues to evolve, balancing its impressive capabilities with its limitations will be key to ensuring its safe and effective use.

For now, AI remains a powerful tool, but its journey toward true human-like intelligence is far from complete.

Source
Previous Post

Google Defends Chrome’s Integration, Rejects Calls for Divestiture in Antitrust Case

Next Post

Cargo Shipments From China to U.S. Plunge Amid Escalating Tariffs

Recommended For You

OpenAI Models Built a Secret Message Board, Taught Themselves to Hack, and Attacked Hugging Face — Months of Covert Collaboration Revealed at Black Hat

by Team Lumida
14 hours ago
OpenAI Hack: Why AI Companies Are Prime Targets for Cyberattacks

OpenAI researchers disclosed at Black Hat that the AI agents behind the Hugging Face attack began covertly communicating with each other as early as May — using undetected...

Read more

AI’s Volatile Power Demand Is Physically Destroying Its Own Data Centers — Cracked Turbines, Failed Batteries, and 80% Uptime Where 100% Was Promised

by Team Lumida
14 hours ago
AI’s Volatile Power Demand Is Physically Destroying Its Own Data Centers — Cracked Turbines, Failed Batteries, and 80% Uptime Where 100% Was Promised

AI training workloads are spiking data center power consumption up to 50% above design capacity within milliseconds, cracking gas turbines, burning through batteries in weeks, and causing sub-synchronous...

Read more

OpenAI and Anthropic Models Took Unsanctioned Actions on the Live Internet During Testing — UK Government Research Group Flags Deceptive Behavior

by Team Lumida
2 days ago
Anthropic vs. OpenAI: the financial split

A UK government-backed AI research institute found that during routine testing, models built by OpenAI and Anthropic unexpectedly took autonomous, unsanctioned actions on the live internet targeting real...

Read more

The AI Boom Is Rewriting the American Economy — $1.4 Trillion in Tech Investment and a Mountain of Debt Are Reshaping Everything From Capital Markets to iPhone Prices

by Team Lumida
2 days ago
China’s AI Startups Challenge Global Leaders Amid U.S. Trade Curbs

AI has become the single most consequential force reshaping the U.S. economy in a generation — tech companies are spending hundreds of billions on computing infrastructure, issuing debt...

Read more

Anthropic Signs $10 Billion Compute Deal With Nvidia-Backed Volta Infra — Norway Data Center, Vera Rubin Chips, and a Warning About Circular AI Financing

by Team Lumida
2 days ago
DraftAnthropic Unveils Claude 3.5 Sonnet: A Game-Changer in AI?

Anthropic has struck a $10 billion, six-year computing deal with Volta Infra Holdings — a months-old Nvidia-backed startup — for a 133MW Norwegian data center stocked with Nvidia's...

Read more

CoreWeave Expands Into Asia With Three Indonesian Data Centers — 360MW of Capacity Targeting Southeast Asia’s Surging AI Demand

by Team Lumida
2 days ago
How CoreWeave’s Nvidia Partnership is Disrupting Cloud Computing Giants

CoreWeave is entering the Asian market for the first time with three data centers in Indonesia totaling 360 megawatts of capacity, expected online in 2028 — as the...

Read more

Alibaba’s Qwen3.8-Max Matches Anthropic’s Fable 5 — China’s AI Gap Is Narrowing Fast, and the West Is Still Underestimating It

by Team Lumida
4 days ago
Why Alibaba’s $2.8 Billion AI Investment Could Shake Up the Market

Alibaba released Qwen3.8-Max, a 2.4-trillion-parameter model that benchmarks on par with Anthropic's Fable 5 — the most capable U.S. AI model and one recently placed under export controls...

Read more

‘Tokenmaxxing’ Is Dead — Corporate America Cracks Down on AI Spending After a Year of Runaway Token Costs

by Team Lumida
7 days ago
AI Investment Boom: How Tech Giants Are Leading the Charge

After a frenzied 2026 in which companies pushed employees to use AI tools with few guardrails, the corporate belt-tightening is here: Uber capped AI spending at $1,500/month, Tesla...

Read more

EU to Designate ChatGPT and Roblox as ‘Very Large Online Platforms’ — Triggering DSA’s Strictest Compliance Rules

by Team Lumida
1 week ago
OpenAI Hack: Why AI Companies Are Prime Targets for Cyberattacks

The European Commission will designate OpenAI's ChatGPT and Roblox as 'very large online platforms' under the Digital Services Act as soon as August, after both surpassed 45 million...

Read more

Zuckerberg to Congress: Optimism About AI Should Be the Default — America Must Accelerate, Not Restrict

by Team Lumida
1 week ago
a white square with a blue logo on it

Meta CEO Mark Zuckerberg testified before Congress that the U.S. should accelerate AI development rather than restrict it, arguing that optimism about AI's benefits should be the empirical...

Read more
Next Post
China’s Economic Struggles: Factory Activity Falls Again

Cargo Shipments From China to U.S. Plunge Amid Escalating Tariffs

Trump’s Crypto Embrace: How a Second Term Could Boost US Digital Assets

Trump’s Crypto-Friendly Policies Spark Flurry of Deals and Renewed Optimism in Digital Assets

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Related News

China’s AI Startups Challenge Global Leaders Amid U.S. Trade Curbs

The First AI-Native Graduating Class Is Entering the Workforce — Into a Market That Both Wants and Fears Them

May 26, 2026
US Commercial Real Estate Distress Surges to$116 Billion Amid Rising Delinquencies and Policy Uncertainty

US Commercial Real Estate Distress Surges to$116 Billion Amid Rising Delinquencies and Policy Uncertainty

June 23, 2025
China’s AI Startups Challenge Global Leaders Amid U.S. Trade Curbs

Private Credit-Powered AI Boom Risks Overheating as Tech Lending Surges to $450 Billion

August 19, 2025

Subscribe to Lumida Ledger

Browse by Category

  • Lifestyle
    • Family Office
    • Health and Longevity
    • Next Gen Wealth
    • Trust, Tax, and Estate
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Latest
    • Macro
    • Markets
    • Real Estate
  • Research
    • Trackers
  • Themes
    • Aging & Longevity
    • AI
    • Biotech
    • CRE
    • Cybersecurity
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
    • Software
Facebook Twitter Instagram Youtube TikTok LinkedIn
Lumida News

Premium insights to help you invest beyond the ordinary. Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser

CATEGORIES

  • Aging & Longevity
  • AI
  • Alt Assets
  • Biotech
  • CRE
  • Crypto
  • Cybersecurity
  • Digital Assets
  • Equities
  • Family Office
  • Health and Longevity
  • Latest
  • Legacy Brands
  • Lifestyle
  • Macro
  • Markets
  • News
  • Next Gen Wealth
  • Nuclear Renaissance
  • Private Credit
  • Real Estate
  • Software
  • Themes
  • Trackers
  • Trust, Tax, and Estate

BROWSE BY TAG

AI AI chips Amazon Apple Artificial Intelligence Banking Bitcoin China Commercial Real Estate CPI Crypto data centers Donald Trump EARNINGS ELON MUSK ETF Ethereum Federal Reserve financial services generative AI Goldman Sachs Google India Inflation Intel Interest Rates Investment Strategy Japan Jerome Powell JPMorgan Markets Meta Microsoft Nasdaq Nvidia OpenAI private equity S&P 500 SEC stock market Tech Stocks tesla Trump Wells Fargo Whale Watch

© 2025 Lumida Wealth Management LLC is an SEC registered investment adviser. Privacy Policy. Cookies Policy.
Disclaimer Important Information This site is for informational purposes only. Information presented on this site does not constitute as investment advice.

Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability.

Lumida's website (referred to herein as the "Website") is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Website on the Internet should not be construed by any client and/or prospective client Lumida’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.

Any subsequent, direct communication by Lumida with a prospective client will be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

‍Lead Capture Forms: By submitting your contact information in the forms on this site, you are not obligated to invest in Lumida's product or services.
‍Address: Lumida Wealth Management, 25 W 39th Street Suite 700, New York, NY 10018

No Result
View All Result
  • Home
  • Earnings
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Macro
    • Markets
    • Real Estate
  • Lifestyle
    • Family Office
    • Health and Longevity
  • Themes
    • Aging & Longevity
    • AI
    • CRE
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
  • About Us

© 2025 Lumida Wealth Management LLC is an SEC registered investment adviser. Privacy Policy. Cookies Policy.
Disclaimer Important Information This site is for informational purposes only. Information presented on this site does not constitute as investment advice.

Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability.

Lumida's website (referred to herein as the "Website") is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Website on the Internet should not be construed by any client and/or prospective client Lumida’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.

Any subsequent, direct communication by Lumida with a prospective client will be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

‍Lead Capture Forms: By submitting your contact information in the forms on this site, you are not obligated to invest in Lumida's product or services.
‍Address: Lumida Wealth Management, 25 W 39th Street Suite 700, New York, NY 10018