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Generative AI, which uses machine learning to create content such as text, images, and videos, is experiencing unprecedented investment interest. In the first quarter of 2022, VC investment in generative AI reached $4.5 billion, a decline from the previous year but still an impressive sum. This trend has led to a surge in early-stage VC funding, with $2.2 billion raised in 2022 alone. Open-source models like GPT-Neo and Stable Diffusion have provided opportunities for ventures of all sizes, while public cloud providers are recognizing the revenue potential and making significant acquisitions and partnerships. The trend towards generative AI is expected to continue, with the technology likely to be used across various industries.
