Comment by mjr00
8 hours ago
> On April 4, 2024, it was revealed that Amazon's "Just Walk Out" technology was supported by approximately 1,000 Indian workers who manually reviewed transactions. Despite claims of being fully automated through computer vision, a significant portion of transactions required this manual verification. ( https://en.wikipedia.org/wiki/Amazon_Go )
Wonder how much of this is due to economics since computer vision tech never reached the expected performance + outsourced workers got (relatively) much more expensive after COVID.
It's great that they faced essentially no consequences for this. A sure sign that we have a functional and sane market.
Why would they face consequences? Every store has video surveillance that can be reviewed.
They trusted their tech enough to accept the false-positive rate, then worked to determine / validate their false positive rate with manual review, and iterate their models with the data.
From a consumer perspective the point is that you can "just walk out". They delivered that.
If the stock price goes down, I won’t be surprised if there’s a shareholder lawsuit claiming that they misrepresented their level of AI achievement and that lead to this write-off by keeping operating costs and error rates high. The whole business model really assumed that they could undercut competitors by lower staffing.
Their initial advertising claimed near full automation by their "AI" system when, in reality, they had people manually handling around 70% of the transactions.
I get that this is a message board for YC, so lying about your company's tech is considered almost a virtue but that is an unreasonably big lie to tell without getting your hand-slapped by some regulatory body or investor backlash.
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What's the crime? If lying about AI capabilities is a crime we have some billionaires in big trouble.
If it's a publicly traded company, everything is securities fraud.
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AI is not unique in this regard. We just saw the same thing with the crypto/blockchain nonsense.
Regulation lags so far behind that you can get away with bad behavior long enough that, by the time regulation catches up, you can buy your way out of consequences.
This was proven to be false on the WAN show. Only 20% of transactions were low confidence and handled by mechanical turk.
https://m.youtube.com/watch?v=433kipkEERY&t=8479s
20% seems like a "significant portion" to me
20% is an incredibly high number though, if a store has 400 people/hour that means you're manually reviewing 80 transactions per hour, over one transaction per minute. That's multiple human employees.
One transaction per minute is nothing at all when the transaction can be as simple as "did the person put that back on the shelf" with a 5 seconds clip.
Proven "false." I've noticed that if one admits the truth with a dismissive or offended tone, you can just continue to claim the lie and through sheer force of will people will still go with it.
I think people just think that they must be misunderstanding something; that nobody could claim one thing while offering evidence of its opposite. 1/5 of purchases lose their significance.
Why did "outsourced workers get (relatively) much more expensive after"?
Essentially the thinking went. If everyone is remote, why not hire remote workers from countries that are a lot cheaper. Suddenly you had a hard time finding contractors and FTEs from those countries because everyone was hiring them. At the same time it got really hard for entry level developers in the USA to find work.
The supply/demand curve shifted and now those workers are becoming more expensive while domestic workers are becoming cheaper.
Great question. I'm not an economist so I have no idea why. The outsourcing rates I've all seen have gotten way higher in the past ~10 years though.
Beyond just the usual inflation?
I'm not an economist either, but I also assume that as the country attracts more local talent for local companies, the competition for outsourcing becomes harder. (i.e, you now have to pay more than the local companies).
All just speculation on my part though, I really have no clue either.
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India specifically is in the middle of a massive years-long labor movement that is changing the terms of work there and I believe shifting the degree of alignment with western corporate outsourcing though I'm not very informed about the details.
Scale is beyond comprehension though, there were 250 million people on strike one day last summer. This is not ever really covered in western media or mentioned on HN for reasons that are surely not interesting or worth pondering at all.
Americans can’t afford to strike like that.
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People don’t know what the H is in RLHF.
Another case where AI = "actually Indians". It's funny how often this has happened.
I remember this case the one who put "Actually Indians" in my mind. What other instances do you know?
(Not to refute your point, of course, I am just curious)
Builder ai
Maybe. I'd really want to know what percent of items (not transactions) needed review. 1,000 people to oversee how much revenue?
Theoretically if it was 99% computer and 1% human, that's enough to mess up the economics but it's not a bait and switch like some companies have done.