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ChatGPT's Gov Platform, What After AI Beats You, Ad-Making and more

The US Congress may seat a robot or two soon.

Good morning from Sydney.

OpenAI has edged its way into US government offices, more AI agents appearing from around the world, a new AI music generation model and the existential dread that all designers must and will face - what happens when AI becomes better at a single skill than we are? Also, when thinking about growth, it’s easy to fall into the trap of “going viral” but that rarely equates to paying customers.

Many great links in today’s newsletter!

Have a wonderful Thursday 🙏🏽

Yours in Wonder,
Charbel
Founder of Velvet Onion, Faster Zebra and more to come …

Today’s Highlights

  • AI: OpenAI’s ChatGPT Gov Platform Goes Live

  • Design: When AI Beats You—What’s Next?

  • Science & Tech: Apple Plus SpaceX = Starlink on iPhones

  • Founding: Everyone Needs Ads

  • Product: Mastering Big Decisions: Consult Your Gut & Graph Equally

  • Today’s AI image: Best Advisors to the President?

  • Quote for the day: Ironic Services of Banks

AI

OpenAI’s ChatGPT Gov Platform Goes Live

OpenAI has rolled out ChatGPT Gov, a specialised version of its AI assistant built exclusively for U.S. government agencies.

Designed for security and compliance, it allows federal departments to leverage AI without risking sensitive data exposure.

Key Features:

  • Runs on Azure’s Government Cloud – Ensures strict security protocols and compliance with federal regulations.

  • Enterprise-Grade AI – Agencies get access to GPT-4o, custom AI models, admin controls, and conversation-sharing tools.

  • Already Widely Used – Since 2024, 90,000+ government employees across 3,500 agencies have exchanged over 18 million messages using ChatGPT.

  • Scalable for Federal Needs – Designed for department-wide deployment, allowing seamless integration into existing workflows.

  • Enhances AI Adoption – Provides a trustworthy AI solution, making it easier for agencies to embrace automation and data-driven decision-making.

Why It’s a Big Deal:

AI is rapidly becoming a core tool across industries, and governments can’t afford to fall behind.

By offering a secure, tailored AI, OpenAI is removing a major barrier to adoption—allowing federal agencies to harness AI’s power while keeping classified information under wraps.

This could pave the way for even broader AI integration across public services.

Also in AI

Design

When AI Beats You—What’s Next?

As Artificial Intelligence creeps into every creative and intellectual field, a moment of reckoning awaits us all:

What happens when a machine does what you do, but better? This isn’t just about efficiency; it’s about identity, purpose, and the future of human creativity.

The Shock of Being Surpassed

  • The legendary Go champion faced AlphaGo in 2016 and realised his lifelong mastery of the game meant little against AI’s unpredictable brilliance.

    The experience was so unsettling, he quit professional play entirely.

  • Researchers call this “ontological shock”—when AI doesn’t just outperform us but redefines what we thought was uniquely human.

  • AI is now overtaking writing, filmmaking, music, design, and programming.

  • Paul Schrader, the screenwriter behind Taxi Driver, recently admitted AI generated better script ideas than he could.

  • Writers and creatives are discovering AI can replicate their style in seconds, forcing them to reconsider their value.

You Can’t Outrun It, But You Can Adapt – Some will walk away, like Sedol.

Others will find new ways to create value, focusing on human judgment, lived experience, and creative vision. Things AI cannot nail.

Why This Matters

This is about losing a sense of purpose for designers.

When machines master what we once thought made us special, we must redefine our creative identity. Competing with AI isn’t practical. Holding on to and mastering your self is.

Stick to what makes us irreplaceable—our perspective, our experiences, and our ability to shape meaning.

The shock is coming.

The real question is: how will you respond?

Also in Design

Science & Tech

Apple Plus SpaceX = Starlink on iPhones

Apple has been working behind the scenes with SpaceX and T-Mobile to integrate Starlink satellite support into iPhones, expanding connectivity beyond traditional networks.

With the latest iPhone software update, this technology is now live—though Apple has kept it under wraps.

What’s Happening?

  • Starlink on iPhones – Apple’s newest software quietly enables iPhones to tap into SpaceX’s Starlink satellite network, offering an alternative to its own satellite service.

  • Collaboration with T-Mobile – The project involves T-Mobile, which has already begun a limited beta test of the feature for select users.

  • Testing Underway – Insiders confirm that Apple has been trialing iPhones with Starlink connectivity, ensuring the technology is functional before wider rollout.

  • A Stealthy Launch – The update, released Monday, activated Starlink support without fanfare, marking a shift in Apple’s satellite strategy.

  • Potential Game-Changer – This could significantly boost iPhone connectivity in remote areas, reducing reliance on traditional mobile networks.

Why This Matters

Apple partnering with SpaceX signals a major shift in mobile connectivity.

Instead of relying solely on its own satellite tech, Apple is leveraging Starlink’s vast network, potentially reshaping how iPhones stay connected worldwide.

This move could challenge traditional carriers, expand coverage to previously unreachable locations, and set the stage for a new era of satellite-enabled smartphones.

Also in Science & Tech

Founding

Everyone Needs Ads

Perplexity’s shift to an advertising model was less of a plot twist and more of a slow, steady drumbeat.

From its inception in August 2022, Perplexity touted itself as the anti-Google, prioritising ad-free, streamlined search experiences. Yet, by April 2024, the company began hinting at integrating ads, a move that seemed at odds with its original mission.

History, however, shows that when corporate ideals clash with financial imperatives, ideals often retreat.

Ads: The Necessary Villain?

Public outrage over Perplexity’s ads mirrors past reactions to Facebook, Gmail, and Instagram adopting similar models—grumbling that eventually fades into acceptance.

The paradox lies in society’s aversion to both paying for services and tolerating ads as a revenue source.

While Perplexity’s leadership claimed ads were part of the plan all along, the pivot feels more like a begrudging necessity than a triumphant strategy.

Challenges in Monetisation

Perplexity faces unique hurdles in its ad journey.

Unlike Google’s vast and diverse user base, Perplexity caters to a niche demographic: high-income professionals, with significant user concentration in India and Indonesia.

Its premium pricing and commitment to limited user data sharing further complicate scaling its ad business.

The question isn’t whether ads ruin the experience but whether Perplexity can balance profitability with product integrity.

Consumer Realities: Ads or Paid Access

The age-old adage rings true: if you’re not paying, you’re the product.

Consumers expecting free services must accept ads as the price of admission. If advertising erodes user experience, alternatives exist.

Complaints about ads dominating search results are moot if users can simply scroll or switch platforms.

After all, every click, subscription, or scroll is a vote for the kind of digital world we want to live in.

Also in Founding

Product

Mastering Big Decisions: Consult Your Gut & Graph Equally

Product managers often face situations where tough choices must be made quickly.

Imagine having two equally viable features, both offering similar benefits and costs, but engineering can only handle one.

Waiting for more data risks missing the opportunity altogether. So, how do you make the call?

Steps to Navigate

  1. Start with Logic: Begin by gathering all relevant information. Focus on the broader context, identify essential elements, and assess risks, opportunities, and long-term effects.

  2. Shift to Intuition: Once you've analysed the facts, trust your instincts. Break the problem into manageable parts, let your subconscious work.

Your Gut Feeling

While intuition often gets sidelined in the world of data-driven decisions, it’s a powerful tool. Here’s how to harness it effectively:

  • List the key factors: Focus on the elements that genuinely influence the decision.

  • Assign scores to factors: Rate each based on how you feel about them, using a simple numerical scale.

  • Evaluate the results: Check if the overall score aligns with your instincts.

For example:

  • Feature A: Early to market, low risk, and in demand.

  • Feature B: Targeting a declining market, riskier, but requested by customers.

If your intuition favours Feature A but doubts linger, delve deeper into potential outcomes.

After weighing logic and intuition, treat your decision as an experiment.

Communicate it clearly, align your team, and test your hypothesis.

Today’s AI Image

Best Advisors to the President?

Quote of the Day

Ironic Services of Banks

"A bank is a place that will lend you money if you can prove that you don’t need it."

Bob Hope

What we’re working on

Velvet Onion & Friends

The new Velvet Onion & Friends will be launched soon. It’s our latest evolution, helping companies build products. It’s more than services.

Faster Zebra

February 2025 - the product and venture school journey begins. Whitepaper launching in January.

🧞Your wish is my command