Core Insights - The core viewpoint of the article is that software has undergone two fundamental transformations in recent years, leading to the emergence of "Software 3.0," characterized by programming large models using natural language [2][5]. Group 1: Evolution of Software - Software has remained relatively unchanged for the past 70 years, but recent advancements have led to significant changes [2]. - The introduction of large models has transformed neural networks from fixed-function machines to programmable entities, where prompts serve as the programming language [4][5]. - Karpathy predicts that we are at the beginning of Software 3.0, where natural language programming will dominate [5][27]. Group 2: Attributes of Large Models - Large models possess three attributes: tool, factory, and operating system [7]. - As tools, large models require substantial initial capital investment for infrastructure, similar to building an electric grid, and are charged based on usage [8]. - The factory aspect highlights the high capital needed for training large models, akin to semiconductor manufacturing, but software's replicability makes its competitive moat less robust than hardware [9]. - Large models function as complex software ecosystems, with both closed-source giants and open-source communities coexisting [12]. Group 3: Human-like Characteristics and Limitations - Large models exhibit human-like psychological traits due to training on human data, possessing vast memory but also significant cognitive flaws [14][15]. - They can remember extensive information but may produce nonsensical outputs or errors that humans would not make, such as miscalculating simple facts [16]. Group 4: Opportunities in AI Applications - The current major opportunity in AI applications lies in developing semi-autonomous products, allowing human control while leveraging AI capabilities [17][21]. - Examples include AI tools that assist programmers without fully replacing them, maintaining human oversight [21][22]. Group 5: Future of AI and Software Development - The next decade will see a shift towards more autonomous systems, with a gradual increase in AI's role in enterprise workflows, including code, documentation, and data analysis [29]. - Long-term visions include the proliferation of intelligent assistants akin to Jarvis from "Iron Man," where human decision-making remains central [30]. - The industry will require expertise in Software 1.0 (coding), 2.0 (model training), and 3.0 (prompt engineering) [31].

Core Viewpoint - Wix.com Ltd. has acquired Base44, an AI-powered platform that allows users to create custom software applications using natural language, enhancing Wix's AI portfolio and expanding its reach to new audiences globally [1][3][4]. Company Overview - Wix is a leading SaaS website builder platform, providing users with tools to create, manage, and grow their digital presence since its founding in 2006 [8]. - Base44 democratizes software creation by enabling users to build applications without traditional coding, utilizing advanced AI technologies [10]. Acquisition Details - The acquisition of Base44 was for an initial consideration of approximately $80 million, with additional earn-out payments based on performance metrics through 2029 [5]. - The transaction is expected to have an inconsequential contribution to Wix's bookings and revenue in 2025, with an anticipated $25 million in retention bonus payments to Base44 employees [6]. Strategic Implications - The acquisition aligns with Wix's mission to make digital creation more accessible, allowing users of all expertise levels to express their ideas while intelligent agents handle execution [4]. - Base44's technology and market presence, including partnerships with companies like eToro and SimilarWeb, will enhance Wix's capabilities and accelerate the development of intuitive tools for digital experiences [3][4].