News Summary

• frontier AI models have already consumed much of the readily available stock of public knowledge on the internet.
• What remains is the valuable tacit knowledge embedded within organizations.
• Whoever sets the terms of how this knowledge is teased out and transferred will set theterms of the next economy.
• In 1962, the economist Kenneth Arrow identified a fundamental flaw in the marketplace of ideas.
• Information cannot be valued until it is disclosed, but once disclosed, the buyer has acquired it without paying.
• It is this information paradox that explains why societies create patents: a legal device that lets an inventor disclose an idea while retaining the right to profit from it.