AI Lurches Toward Recursive Self-Improvement

Hi, friends. Before we get into today's episode, I wanted to share that the second episode of How We Got Here has arrived. The episode is called How We Made the Wrong Things Cheap and looks at how for twenty five years the price of stuff, consumer goods, electronics, etcetera went down while the cost of housing, health care, and all that really important stuff went the other direction. I think in many ways, this dichotomy is at the heart of the economic populism that is increasingly dominating American politics. For those of you who have already listened and subscribed to how we got here, a big thank you. And for those who haven't yet, this is my invitation. If you like what you get on the AI Daily Brief, I think you'll like this show. So go check it out, How We Got Here with NLW on any podcast platform, or go to howwegothere.com. The three letters on everyone's minds are R, S, and I. A new MIT paper showing how a bigger model can edit the actual weights of a smaller model has people thinking about it. And Wall Street investors who are trying to understand where the next leg of growth comes from are also digging deep into what RSI might mean. On this episode, we're looking at a set of stories whose throughline is RSI and more broadly, comes next for AI. But it starts with Elon Musk casting doubt on the entire personal agent space. The AI Daily Brief is a daily podcast and video about the most important news and discussions in AI. Alright, friends. Quick announcements before we dive in. First of all, thank you to today's sponsors, KPMG, robots and pencils, c data, and Blitzy. To get an ad free version of the show, go to patreon.com/aidailybrief, or you can subscribe on Apple Podcasts. And to learn more about sponsoring the show, send us a note at sponsors@aidailybrief.ai. Two more quick announcements. As you just heard, the second episode of How We Got Here is now out. It's called How We Made the Wrong Things Cheap. And for any of you who are interested in the economics of the modern American economy, where by some measures we're doing better than ever but everyone feels more behind, If you wanna know how that came to be, that episode is for you. You can find it at howwegothere.com or by searching How We Got Here with NLW on any podcast platform. The second note is that I am traveling this week for my anniversary and basically coming to you live from the jungle. So if you happen to hear bird sounds or water trickling, or let's just call it more nature than usual, that is why. I hope you enjoy these various nature sounds for the next couple of days. Next week, we will be back to normal. One of the conversations that has been swirling around quite a bit throughout 2026, but especially …