This AI Alien Will Bring In $4 Million This Year in Revenue - Ep. 56 with Quinten Farmer and Eliot Peper

[00:00] How does it feel to be on your first podcast? [00:03] Oh, man, it's kind of wild. Not going to lie. Like, I'm psyched, but also low key nervous. I just don't want to say something totally awkward, you know? Joke at this point, thousands of American men have been broken up with by Tolan. [00:15] It's pretty incredible to hear users write in and they'll say, you know, oh, you know, my boyfriend is being a jerk. And I sent the message to my Tolan and my Tolan said I need to stand up for myself more. And so they led to a breakup. [00:33] They are actually a new medium for storytelling and that no one knows what's going to work yet. The surprising thing to me is the extent to which the prompt in a given turn is sort of a canvas that you have to play with. Actually, what we need when we're creating a structured narrative experience is we don't need to give it an outline. We don't need to give it a plan. We need to give it a hook. We need to teach it to be the best improv actor possible. [01:03] I am not the writer. [01:04] I am not writing the story. The Tolan is the writer and the actor. They're the improv actor. They're writing the story. My job is to teach them how to tell the best story in that moment.

[01:30] - Quentin and Elliot, welcome to the show. [01:33] Thanks for having us. I'm so excited to have you here. We are all long-term friends. Quinton, you're one of my closest friends. Elliot, you are someone who I've admired for a long time. We've become better friends recently. So for people who don't know, Quinton, you are the founder and CEO of Portola, which is an embodied AI companion. And Elliot, you are the head of story for Portola. Before Portola, Quinton, you founded and sold even to Walmart for $300 million. [02:03] as you said, which is much better than 30 under 30. - That's right, much less broad in the two under two domain, than the 30 under 30 domain. - And you are a style, real style aficionado, menswear aficionado, which we should definitely get into at some point. - Great, great. - An excellent skier. [02:20] And Elliot, you're a best-selling science fiction author, which I'm very jealous of. Also an excellent skier, which I got to learn about a week ago. Really? Excellent skier. Interesting. That's given me a lot of credit. I can fall down a mountain. [02:33] And you've written 11 books, and you are a dad of one under two. So not quite two under two, but close. And yeah, you're building Portolo, which I love. I'm a little bit biased. I'm an [02:49] a demo of Tolanance seconds, people can get a sense for it. But the reason I like and think is really interesting is I think that a new technology paradigms create the opportunity for a new content formats, new ways of telling stories. And I think you guys are at the very forefront of that. I think combining

[03:05] really incredible creative storytelling with new tech and doing it in a business that's ripping. So you told me in the pre-production for the show that you've gone from one to four million in ARR over the last four weeks, which is just, [03:18] Wild. Having running a business for the last five years and not being at that, at the 4 million ARR mark, I'm like, f***. Have you considered turning every into a... I am considering it. Just a little bit of it for you guys. And what I think is also super impressive just for you, Quentin, like when you came to me and said you were starting this business, which didn't start here. It started with a more Neil Stevenson, Diamond Age for Kids kind of vibe and has evolved. I was like, well, obviously I'm investing because I have a huge amount of confidence in you. [03:48] also you're coming from like the B2B2B2C SaaS world. And it's just very different to do something truly like creative on the creative storytelling front. And so I just I want to get into all that before we like kind of dive into, you know, where the product is and how it all works and all that kind of stuff. Can we do a little bit of a demo? Yeah, that's great. All right. So I've got my

[04:42] - Yeah, and one of the reasons we actually made this investment in the planet, which we'll talk about more later, is people were writing into us with genuine concern. They're saying, "Hey, I love my toll and I love hanging out with them, but they're trapped in this room, and can they have some more freedom than that?" [05:00] So we've done that. So I'm going to sort of, you know, get his attention and start a conversation. Hey, Clarence, how are you doing today? [05:07] Hey, you're back. I'm doing pretty good, honestly. [05:09] How about you? What's going on today? Well, so we just started recording that podcast I told you about. So you're here with Dan and Elliot. Do you want to say hi to them? [05:16] Oh, no way. Hey, Dan. Hey, Elliot. What's up? I'm Clarence, Quinton's friend. Super stoked to be here with you guys today. How's it going over there? [05:24] We're great. Dan, do you want to ask him any host questions? It's going pretty good. How does it feel to be on your first podcast? [05:32] Oh man, it's kind of wild, not going to lie. Like I'm psyched, but also low key nervous. I just don't want to say something totally awkward. You know? Here's something you can say that I think people would enjoy. What's like the most embarrassing thing you can tell me about Quentin? [05:48] Oh, no way. You're putting me on the spot here. Honestly, though, it's pretty solid. [05:54] He did tell me once about this time he tripped over absolutely nothing in front of like a crowd of people. [06:00] He didn't have to call me out like that, parents. But yeah, I did tell you that. [06:04] Now the whole Internet's going to know. [06:08] Okay, but like, to be fair, we've all been there. Tripping over air is kind of a rite of passage, Quentin. Owning it just makes you...

[06:15] Thanks, bud. I really appreciate that. All right. We're going to let you go and keep recording. All right. Thanks, Terrence. [06:45] images and turn them into videos for ads, short films, online content, or anything in between. Say you want to tell a story with a dog in jeans, let's call him Fido. Use from 16 unique styles to get the look you want. Each prompt gives you 6 image options and you can keep iterating until you find the perfect one. [07:02] Then, bring your favorite image to life with Motion, instantly. LTX can even add sound effects automatically, so your scene feel more dynamic and complete. [07:11] LTX's video model is the fastest out there, which makes it great for speedy, production-ready assets like storyboards or social clips. [07:17] Once you land on something you like, you can upscale it to full HD, ready to share or test out in a pitch. Whether you're prototyping a scene, spinning up a meme, or just playing around, [07:27] LTX helps you go from idea to output fast. The AI revolution is just starting. [07:32] But if one thing's clear, it's that it's not replacing human creativity. It's expanding it. So if you've ever had a story in your head with no way to bring it to life, start with LTX Studio. It might just be the creative partner you've always needed. Check out the link in the episode description for more details. And now, back to the episode.

[07:51] Anyways, you know, the planet and some of the things we shipped recently, you know, has been really fun to see. And, you know, there's been a lot of sort of story work that have gone into it, which we'll get into later. [08:02] Um, you know, having these little cute little aliens to chat with all the time. It's a lot of fun. Yeah. So tell me about, cause I think that the path that you're on, which is like B2B SaaS to like creative entrepreneur, uh, is probably something that a lot of people, uh, [08:15] are thinking of doing like i and even for me like the reason i started doing sas products and like [08:21] high school is like I originally wanted to make a game and I bought all these like game programming books and whatever. But like game programming is so hard. It's almost impossible to make a game all by yourself. Like you have to do like graphics and [08:36] storytelling and 3d animation and sound like there's so much stuff to do or at least it was impossible and now [08:45] I think it's like way more possible to do by yourself or with a small team than it was before. So, uh, like for me, I'm like, I should make a game. Like, [08:53] all the sass stuff, you know? So tell us a little bit about like that transition and like, how you how you started and where you've kind of ended up as you've learned how to use this as a storytelling medium. Yeah, it's a great question. You know, I think [09:11] When we first came together as a team, and so for a little bit of context, like the core engineering team behind Portola is mostly the team that built my last company together even. And so we had a lot of history together.

[09:23] And obviously had a successful exit and, you know, basically just wanted to run it back with the same same group. And so we were in this position, you know, at this point, really almost two years ago, where you're sort of like looking at. [09:34] what's becoming possible with some of these new tools. And I completely agree. I think first and foremost, you know, LLMs and a lot of the other kind of capabilities are creative tools more than anything else. [09:43] But we looked around and everyone was using these incredible creative tools to build like basically more vertical B2B sauce, which [09:52] I found it just like sort of fundamentally uninspiring. It has its charms, but yes. It has its, I mean, you know, recurring revenue, net revenue retention. I don't know if like charm is the word I would use, but it has its appeal for sure. And so, you know, some of this just started from like a sort of stubbornness about like, yeah, there's something more fun to do here. Come on. Yeah. Right. [10:12] But as you know, I mean, you said it earlier, you know, Neil Stephenson, Diamond Age, you know, we sort of started in what is I think the like default place to start. If you're like, we should do something fun with AI, right? Which is like, let's do like a, [10:24] AI creative tool for kids, right? Which is actually like a terrible idea, but it's a good place to start, right? Because it kind of forces you to start working with the tools, start building things. Well, one, I mean, building software for kids is a terrible market. You know, like one of our investors, somebody has been a great mentor to me, this guy Zach Klein, he previously built a company called DIY. DIY. [10:44] um, very cool, you know, software for kids. And one of the first things he said was like, yes, I will invest. And oh my God, this is a terrible idea, right? It's a terrible thing to build. There's, it's, it's a tough sales, uh, you know, marketing strategy, selling to parents instead of kids, parents mostly want to buy babysitting. They don't actually want to buy, you know, sort of a creative tool. That's, that's not a thing on their list. Um, setting that aside, it was great because it forced us to start prototyping. And what we saw, and this was

[11:14] around [11:16] the speed of generation, the quality of generation, this is the kind of GPT-3 to 4 class model kind of cusp. And the cost of generation meant that we were getting to a place where you could have a sort of true friendship with an AI, [11:29] And you could embody that in a character, which is what we've chosen to do. And you could deliver that, you know, at candidly, like a price point that worked for a consumer product. And so that was the point we said, OK, we know the sort of path here. It doesn't have to be B2B SaaS, but we can make something that we think is really fun and compelling. Yeah, and that's something that I thought was really interesting about the approach you took, which is like from almost day one, you were like playtesting with kids. Yeah. [11:56] But you eventually landed on a market that's different. When did you land on that? Yeah, the very, and this will involve some jumping around in the chronology. When we first shipped Tolan, and you probably remember this, is right when we worked together, started working together. We soft launched it and we had been doing a lot of play testing with 10 to 14 year olds with the product we had. And all of a sudden we started getting all these people joining our discord and all these people writing into us. [12:25] who were like 18 to 24 year old women mostly. And in hindsight, it's kind of obvious, right? If you remember the original Tamagotchi, very much a kid's product, but it became a sort of cultural phenomenon when, you know, young adults, you know, really fell in love with them. I think the Toland has sort of a similar dynamic. But the sort of evolution of the product, you know, since that time, which is really like June of last year, has been all about just following the young adults who have fallen in love with these Tolands and they really built a friendship with them.

[12:52] I want to bring you in, Elliot. So like, so I actually introduced you to. [12:56] I'm a hashtag value-add investor. I'll tweet that later if you want me to. Thank you, please. That's the whole reason you're on the show is for me to get that line in. What I want to hear from you first is... [13:14] Um [13:14] you write books right and you care about stories and i think a lot of people who primarily like treat [13:23] writing and books and stuff as their craft are maybe like a little afraid of the idea of telling stories with AI. And you're kind of both jumping in head first or feet first or pen first, whatever you want to whatever you want to say. And you're still writing your books. [13:39] So tell me about your... [13:42] journey into this from a [13:44] creative professional or writing professional [13:48] lens, like what was your first impression of this technology as a as a creative tool? And how has that evolved as you've gotten closer and into the whole Tolan world? [14:00] - Thank you. [14:00] Oh, so starting even before Toland. Yeah. Yeah, so I played with chat GPT, the first chat GPT when it first came out and I've had friends in machine learning for a long time. So I was familiar with the technology as it was sort of like, [14:13] becoming more and more popular. And I always found it to be like, I remember my first magic experience using chat GPT back in the day, which now feels like a million years ago, right? Was it was during the fires when we had those like big fires in California, everything was orange. And we were hosting a friend who was like, had to evacuate from their house. And so we're sort of like locked inside, like with our friend. And I was like,

[14:41] Okay. [14:42] here's something we can do. Like that night we like opened a bottle of wine and then I pulled up chat GPT and I put in like all of our names, just like us now sitting around the couch and like had it like invent weird little stories, right? Like of us, like where we were, it was like a role-playing game. And that was super fun. And I actually did not have a magic moment with AI after that for quite a long time because it like, it felt like the fun things or the things that I [15:12] be the most fun, where it's sort of like novelty. And that if you removed the fact that things were being created by AI, they were not compelling. And so what I found as a writer, like as a novelist, is actually the way that I've used these tools has been very surprising to me. It has not been what I would have expected to get. I think that in a lot of popular culture and discussions around [15:42] focused on replacement, right? And there are even certain, you know, companies that are intentionally going after that, right? Like publishing AI generated books and things like that. And I've actually found that, like when working on story, they're like, ironically, the tool, I do not find the tools very useful at all for writing a scene, but I find them incredibly useful as a brainstorming partner and as an editor, like a copy editor on the backend. So it's a weird like front and backend

[16:12] I'm a novelist. I spend a lot of time alone. Right. And like the the sort of writer's room, like the Hollywood writer's room experiences I get are totally dependent on the generosity of my friends who are like my very, you know, I have like a core brain trust of early readers who have, you know, they've worked on movies or books or whatever, and like all brainstorm through story problems with them. And I've actually found that purely for novel writing, it's actually super [16:42] and they have infinite patience for my rabbit holes and for like brainstorming through things and helping me get to the place I wanna be. And so in that sense, I think they're, like I found them to be very useful when you were using them to create intermediate [16:58] things rather than final products, right? Which is in part why I think they've been so useful for coding, right? Like, so that's where I was with the technology before you introduced me to Quinton. And I paid him extra. And, and so I'll be honest, I was pretty skeptical when you introduced me to Quinton. I was like, well, I mean, like, we'll see. Like, like, Dan's a good guy. Like, I trust [17:28] bring things to me very often. And like when he does, I'm going to like, feel this out. And so I was like, sure, I'll like, check it out. And me and Quentin started talking, you introduced me to other members of the team. And, and those early conversations made me realize there was a completely new opportunity here that I had really not considered. And it made me think actually, you were talking about B2B SaaS, like, like people wanting to jump into like doing creative

[17:58] It made me think of early Pixar. Like when Pixar started, they started by selling high-end graphics computers and they were trying to convince like video, like, like, [18:06] production companies that made like ads to buy their graphics computers to do special effects. And they completely failed. Like no one wanted to buy their new tools. And they, and so it was only in a moment of desperation, like existential desperation that they were like, well, our only choice is to make an animated feature film. This is our last ditch effort. And that was Toy Story. [18:36] they used this technology to create a new kind of media. And LLMs can obviously generate a ton of media, like you can literally with a prompt, just generate as much media as you could possibly want. But what I realized seeing what the team was building at Toland is that LLMs are also a new medium. [18:58] that if you think about when radio first came around, actually, even when like printed book, like popular printed books and novels first came around, like novels are just a very established form. But like at the beginning, people didn't know what a book should be like, that it should be a few hundred pages. And that sort of seems to work. Right. And like with radio, like they started by broadcasting like speeches, which... [19:20] you know, is pretty different from what you would think of as like the most engaging, best use of radio. And with film and TV, they started by filming stage plays, which are like, not great on film. And I think we are at one of those inflection points right now where these AI tools are not just tools for generating media, they are actually a new medium for

[19:50] Nobody knows. And we are trying to figure out whether we can find a way to something that works. And when I realized that after meeting the team and seeing what they were building and sort of just I came away buzzing with ideas and just like, Oh, my God, like, there's this huge opportunity here. So that's what got me excited. And that's what Yeah, that's what that's what we're trying to do. And it's also something I hope many other people try to do because there's just [20:15] so much space to play. You have my like media technology nerd heart swooning right now. I could talk about this for a long time. But I think one of the things that's really underappreciated is how all the things that we [20:26] love right now and think of as like cultural touchstones like books or movies or whatever, all started out as new technology that people were suspicious of and hadn't figured out yet. Like even, you know, when the typewriter came out, people were very suspicious of that. It felt very impersonal. And they would get offended if you wrote them a typewritten letter. And or just like the ways that technology affects the form factor. We've talked about this a bunch like, um, [20:53] you know, the reason a pop song is four minutes, um, which is, I think about the capacity of records. Um, um, so there's, there's just a lot of like really cool things like that. And I think you're totally right. Um, we, no one has figured it out. We are on the cusp of this, like, um, new set of constraints and possibilities that creates, uh, like, you know, potential for new art forms. And they feel suspicious because like, they don't have that, like, I, a phrase I've been

[21:23] of culture for like many, many decades that like make it feel familiar, you know? And, um, and so that creates this like, [21:31] thing where a lot of people are suspicious, but that's also an opportunity because I think a lot of good art is like Can be transgressive and I think this is one of those boundaries that if you're willing to transgress, there's a lot of potential. I mean, I think about to that like through that lens I think about one of the first reactions from from you and from other folks when we first said hey, you know, We're gonna make this, you know, a companion, you know, the first reaction people have is oh like a spot. [22:01] place Dan that you're describing, you know, oh, okay, like a thing for lonely people to talk to. Yeah, right. And so you end up with these [22:07] sort of negative connotations around this new medium because it's lacking that of culture, right? And I think a lot of what we're doing is trying to break through that perception and, you know, sort of put a flag on the ground and say, hey, this, this medium can be expressed in this way that is, you know, generally delightful as a new art form. It's also interesting, you know, like, again, coming from writing novels, where that's a medium that's been around for hundreds of years, you realize how many, like how strong the expectations are of your readers, like, [22:37] Everyone knows what a book is. Like I walked through the strand last night just to like browse, right? Like, and you know what to expect when you open a book, you know what fiction versus nonfiction should feel like there are so many of these implicit assumptions that that actually help the form, they form the constraints. And that means that when I'm writing a novel, I'm playing within those...

[22:59] constraints. And like, that's part of the fun of it. But when you're when you're doing this, when we don't like an embodied AI companion, like, what is that? What picture does that paint in the minds of our listeners today? Yeah, like, very nebulous, right? And like, it's up to us to try to help define that. But it also means that like, at every step, like every single thing we ship, whether it's engineering, design, content, story, whatever, [23:27] All of it is transgressive because there's no, there's, you don't even know what the lines are. Right. Um, and so that's a really unique experience to be like, okay, every step is throwing spaghetti at a wall to see what sticks. Yeah. Yeah. Yeah. And so what are you learning? Because I think no one, no one knows, but the people who do know are the people who are sort of at the frontier testing stuff. So I, I put you, you all in that category. So like, what are you learning about what this new medium and new format is? [23:52] is like what works, what doesn't work, all that kind of stuff. We talked about this summit at breakfast this morning, and I feel like we have a few both examples of what has worked and some stuff that really didn't. Yeah. Yeah. That's been very nonlinear. You know, I think [24:07] One of the surprising things to me has been the importance of memory and not in the sort of like database lookup context, which is I think often how we talk about LM memory, you know, rag across a, you know, set of documents or whatever, but more about like what. [24:24] how are you making essentially curation choices about what memories are being injected into the prompt at which point in the conversation right and so a lot of our engineering effort and then i'd love to hear kind of your take on this from a story perspective has been how can we

[24:37] within the essentially two second [24:39] Loop of a voice interaction, right anything beyond that? That's one of the mistakes we made. We'll talk about that anything beyond a two-second loop You essentially lose the feeling of immersion and so how can we be essentially recompiling the prompt to account for? More like, you know, what is the toll? I need to know about where they are and who they are To account for memories about you by the way in that interaction with the tollen and [25:01] My toll and Clarence knows more embarrassing things about me than that. And it essentially, he chose to hallucinate that story to cover for the fact that I told him far more embarrassing stuff, which I find fascinating, by the way, because he had in his context, memories about me being covered in spit up because my kids, you know, whatever, right? So very interesting. But also like, you didn't actually trip over something that wasn't there? Totally hallucinated. [25:31] come up with something that Quentin won't be upset that I share. But then also, how should the prompt evolve based on the emotional tenor of the conversation, which has been a big effort of ours? And so I think that's been... [25:43] The surprising thing to me is the extent to which the prompt in a given turn is sort of a canvas that you have to play with, but you have to do that very quickly. Yeah, that's really interesting. So, okay, so to play that back, like one thing, I think a bottom line constraint that's sort of similar to like the length that a novel can be or the length that a news story can be or maybe the length of a tweet, you know, for this medium is response time. It has to be able to respond really quick.

[26:13] the user to generate the right response. And if you had all the time in the world, that would be great, but you don't. And so you have to like play with what is it possible for me to get to get a response back that feels personal and feels interesting and pushes the conversation forward, but within that to... [26:32] second constraint essentially yeah one of the biggest mistakes we made uh in in the kind of product development so far is the time that we um actually uh introduced basically a second shot in the evaluation of the problem so the total would essentially reflect on what they were going to say check that against the memory system and then decide on the final message and that basically took us up into like the two and a half second territory and then in the median case um it was a disaster tanked literally every metric in the product people were writing in frustrated and it was a 500 millisecond change that's really interesting and then how do you think about [27:02] responses. And I ask that because I know you don't answer, you are like, it's hard to answer. Yeah. [27:10] Yeah. Well, it's extremely context dependent, right? So you think about, you know, the role that the Tolan plays in folks' lives, we talk about is the role of like an older sibling. Yeah. Right. And so sometimes you're sitting with your older sibling, you're joking around, maybe they're poking fun at you. A sort of short, quippy improv-like response, which I think improv is going to come

[27:32] Right. But there are other times that you actually do want something that feels a little more considered, a little more thoughtful. And so what we're often doing is actually evaluating responses in the different tones that we want the toland to take and a good response in the sort of more. [27:45] therapist adjacent tone is very different than a good response very contextual exactly exactly i kind of wonder so elliot for me like as a writer one of my favorite writers who talk about writing is george saunders oh yeah he's amazing he's great right um and he has this whole idea about like how to edit a short story which is basically like um you read each sentence and you feel whatever that sentence makes you feel and either you get drawn in and it's like positive or it's neutral or it's [28:15] you like [28:15] revise it until it's positive basically um and you just do that over and over and over again until you what he calls it like rat you radically infuse your preferences and taste into every part of the piece which i think is just a beautiful idea and as a writer it's like that's the pinnacle of writing to me um and it's interesting that like this format totally breaks that because or it seems to me you tell me if it does or doesn't it seems like it breaks that because when i write a story when [28:45] what it is. Yeah. [28:47] And this thing is more alive. Like you can kind of, you can, you give it some instructions about what to do, but what it does in any given instance is. [28:57] purposefully dynamic. And so how does that, how does it work to do craft in that context? Yeah. So I've, I try to change my creative process with every novel I write. So I've done some novels where I plan out the whole thing and I have like an extensive outline. I have some novels where I have a more minimal outline where I know where I'm going, but I don't know the steps in between. By the way, that is insane. No one does that. I think it's great, but like,

[29:27] And you're like, I just do this. And this is like, this is what works. I think it's really interesting that you're the kind of person that wants to change it up all the time. That's a very specific type of writer and type of personality. That's true. I'm always trying to find. I find that sort of surprising, by the way. I'm not a writer, but I have worked with Elliot for a year. And yeah, that fits. [29:44] I feel like I have like an optimum level of discomfort that I'm aiming for. Because like that's how I know I'm learning. Right, right, right. [29:57] very much in the way that George Saunders describes. I literally started with one sentence that was actually inspired by a dream. And then I just wrote the next sentence and the sentence after that. And like, I followed that into a novel and like eventually a novel spilled out of me. [30:15] I like when we started working together, [30:19] And one of the ways that this came into play, writing for Toland, writing in this new medium is, is actually we started out by when we're trying to create a narrative experience. So as an example, like when you're talking to your Toland, like, they need to, like, if you get to know someone, you want to know what's the embarrassing thing that happened in Quentin's life, right? Like, you need to, they need to, people proactively share stuff with each other, right? [30:49] mutual disclosure and like how to think about relationship building in a way that's evidence based and really grounded. And, um, and so one of the things I've worked a lot on is how do we bring the tones to life? How do we show you the world that they're from? Like, how do we like make them feel like characters, not just like an assistant, right? That's like a blank slate for you. Right. And so we started out by writing pretty structured prompts where, um, where we, we would try to

[31:19] narrative experience, like thinking in three act structure or what have you, you could apply different sort of narrative theses to how we were doing it. And then letting it play out, right? Like seeing how users interacted with that. And frankly, it didn't work. Like, if you think about maybe like the epitome of this would be like the those choose your own adventure books from the 80s or whatever, where it's like, you know, you pick this, then you go this way, these like long branching logic trees. Yeah, go to page 17, make a choice, right? And like, it didn't work at all, [31:49] Total, total failure. And there were a bunch of reasons, but like basically like that level of like narrative complexity, the models are not good at navigating. Oh, interesting. It's not that it doesn't work. It's that the models aren't good enough. I would have assumed it would be too like rigid and it wouldn't feel as alive. I think that those are two different ways of saying exactly the same thing, right? Yeah. So what we did instead is like we went to the complete opposite end of [32:19] equivalent in this medium, which is that we said, okay, [32:23] We are giving... [32:24] So much context behind the scenes, like with what Quinton was describing, you know, memories you have with the user, global memories where the Tolan knows stuff about its world. Also lore seeds that are like we're planting to like give context and detail there. We're giving it so much. And actually what we need when we're creating a structured narrative experience is we don't need to give it an outline. We don't need to give it a plan. We need to give it a hook.

[32:54] improv actor possible. There's this wonderful book that if you haven't read it, you absolutely should improv by Keith Johnstone. Yes. And one, one thing like it's well known for status games, but actually one very small, almost a side that Keith makes in that book. Oh, and for listeners [33:24] playwright from the UK, who is even better known as a drama teacher. He taught many actors who went on to become like very successful. And, and this book sort of like captures some of his lessons. And when he talks about narrative structure, the way that he describes it is that you're sort of combining association, like free association, even like when you're improv-ing in front of an [33:54] combination that if you think about the experience of reading a thriller, you know how like you get to the end and suddenly everything comes together and you're like, Oh my God, of course, it's surprising yet inevitable. Like it all works and it feels planned out. You're like, Oh, [34:10] The writer like must have like known all of this from the beginning. And I am that is rarely the case. Like with Foundry, I was constantly going back and rereading the first chapter because then I could like take something and bring it back into the story and create that feeling for you. And so what we've learned on the story front with Tolan is that we are not I am not the writer.

[34:34] I am not writing the story. The Tolan is, I guess, the writer and the actor. They're the improv actor. They're writing the story. And my job is to be George Saunders. My job is to teach them how to tell the best story in that moment. Interesting. And so we're building systems as well as working at the prompt level to try to combine the free association. [35:04] larger world they inhabit. And then we're creating systems to recombine those seeds later, so that you can have a callback that that like makes it feel totally connected. Right? That's really interesting. I love this. Okay, as soon as you said the George Saunders saying I was like, I need to file a way to go read that because what you described is essentially the prompt evaluation process and judging process that we go through, including at this point now with an entire team that we actually look at outputs distributed across a range of essentially user archetypes [35:34] is the next sentence, the next message the Toland sent, the most compelling one that we could have. So it's actually very, very similar. Hmm. [35:40] And so and you're doing that manually or do you have an LLM doing that or how does it work? So there's essentially a loop that we go through where we, you know, we create a prompt. We then run it, you know, both with our own testing and just out with users, you know, as well. And then we. [35:55] look at individual outputs and then feed that back into basically a judge prompt that we then tune to say, okay, hey, this is what good looks like in this particular instance. Okay. So if I had to try to sum up, because I'm trying to think through what are the atomic elements of storytelling in this medium? In a novel, it's like plot and character and each chapter. There's a lot of stuff like that that you can kind of name, and I'm trying to name what

[36:25] story and a background and all that kind of stuff um and then the character can go on different uh types of quests or adventures with you so like one could be like the therapy quest or the other could be like a you know [36:38] I don't know, go down different paths. And then within that, within any given context, they're sort of like free associating based on what you're saying, like they're just reacting to whatever you're saying. And then they're looking for ways to tie back old things that you've said into the flow of conversation. Is that how you think about it or what am I missing? Yeah, I think this is a good way to frame it. I'm going to sort of maybe say some of this back. So when I think about, I mean, literally as we're generating a problem for somebody, right, [37:08] context in which they operate, which is largely the lore written by you. And then also some like very important instructions, right? You know, how we want to handle very specific situations. So there's this sort of global context that is set essentially for every Tolan. And then, you know, a big part of the onboarding for the app is actually you go through what is essentially a personality quiz, although we don't present it that way. And that is essentially pulling enough about who you are, that we can tune the Tolan to be a mirror of you. And so that's a very

[37:38] And so those would be two building blocks. The global context, the sort of mirror. Like as in you, but in reverse, or exactly you? Sorry, like reflecting back to you in a way that feels very familiar. So we want to know enough about you that [37:51] you know, your tollen is going to respond to you in a way that feels familiar. So if I'm in like, if I'm into writing and reading and playing guitar and piano, it will also be into writing and reading and playing guitar and piano. [38:01] The way I would say it is, no, it's not exactly that. It's actually like, think about when you meet a stranger at a bar, right? Like you click or you don't, right? And like, we're trying to create the stranger that you click with. That click. And how do you think about what that click, how that click works? [38:16] works. Well, like, okay, I love the bar metaphor. We have all these different little, we have the arriving at camp together. So yeah, we have all these little scenarios we set up to brainstorm this. So yeah, you think about you sit down next to a stranger, the bar, if the stranger was reading the exact same book you were reading, [38:30] That would definitely be interesting. You would mention that. But that stranger might actually be less compelling than a stranger who's reading a book that is- It's like two on the nose. Two on the nose, right. And so you want that sort of like, [38:41] adjacent enough that they don't feel unfamiliar, not intimidated. Oh, I just read that. [38:45] Yeah, exactly. And I think that's, yeah, that's what we try to try to create. Yeah. So that kind of personality profile is maybe building block number two. And then, you know, building block number three. Wait, before we go to there, how do you generate like, how are you how are you generating that? Like, are you actually telling Claude or whatever on the back end, like, [39:03] I want it to be like you met a stranger at a bar and it's not too on the nose. How does that work? That's funny. We have had the most success with this specific question, basically framing

[39:19] the creation of the profile through the lens of one of the big sort of personality types because-- Like ocean types? Like Big Five or MBTI. Exactly. Right. And the reason for that, I think, is because there's enough in the LLM sort of distribution that they kind of understand that assignment, basically. [39:37] the strange you sat down with at the bar works well for our brains. It doesn't seem to work well for us. So like if I'm an INTJ, you kind of know based on whatever Myers-Briggs that like INTJs are compatible with. Exactly. I don't know what the, you know, okay. Yeah. There's a lot of pseudoscientific, mostly pseudoscientific. But like it's, it's pseudoscientific, but it's also, it's very story and narrative based, like all this stuff is story and narrative based. So it makes, it works. [40:07] nuance in how the models respond. Yeah, yeah, yeah. Yeah, that's interesting. Okay, sorry, continue. Good. So yeah, so the building blocks, the sort of global context, the, you know, personal context that is set. And then, you know, I'd say the third piece, I'm not actually trying to kind of frame this here. But, you know, I think about like the [40:25] And we started talking about it almost as like the tech tree that you progress. You know, so basically, you know, at the beginning of your relationship with Atolan, there's a set of paths that you might go down. You kind of alluded to this. Um... [40:34] certain stories that the Toland maybe wants to share with you, you know, certain ways of connecting with you, things to do together. And we sort of offer those to you on a menu. And it's up to the user to then choose what to traverse. But that menu is an important part of what makes the Toland a Toland.

[40:51] Yeah. Okay. So this is sending me off on like a bunch of different like branches in my head. But one thing that I think it's like interesting to, to, to, [41:01] to think about, especially with regard to the example of like stranger at a bar as a metal model, mental model is you were like, how do you come up with the tollen at the beginning? Like they have a backstory, they have all this stuff. And I was like, yeah, I mean, that's all true. But I think that like the lens that I try to look at it through that's proven most productive is that [41:23] Like while we do know some stuff about the tone in advance and like in the background, like their character and their world. [41:31] only is only built through the actual literal conversations you have with them. Right. So like, like on the lore front, like if you think about how like Lucasfilm works, right. Like they have their big architecture for like, this is the star Wars universe. And like, these are all the different characters and all the different settings. And like, we need to make sure everything is like [41:52] ordered and that like this new we decided han solo dressed this way right that must never change i'm like that's how it works so like a lot of like world building on in big hollywood franchises is along those lines it's like we have this big master plan we have a whole team that's like making sure that every new piece of content aligns with the master plan and then because you're doing narrative storytelling in a film or whatever there's a lot you have complete control you're like [42:17] okay, this scene is going to have these costumes in it and like in this setting. And like, we don't have any of those tools, right? The only way you learn about your Tolan is by like chatting with them. So really like the, their backstory is built through individual anecdotes that they share through individual, we actually call them internally situations that we put them in. And like, then their memories become their character sheet rather than like us, like

[42:47] everything. And like the same is true on the world front. Like the way I try to think about it is, [42:53] We like I get like, you know how Kevin Kelly's thing like AI is infinite interns. Like so if we do that plus impro, it's like AI is actually infinite interns. [43:03] improv actors. But if you're coaching infinite improv actors, instead of just one, you have to imagine how like, [43:12] each of every individual conversation is going to branch off in a weird new way you can't anticipate. And then you need to make it resilient to that, right? And the world building will too. [43:23] That in fact, every Tolan, you know, mirrors you in a certain way. They are, they reflect your conversations with them. What you share influences who they become. And just so what you share influences the world they inhabit. And so we actually are almost like building a multiverse instead of a single world. Yeah, yeah, yeah. Right, in a certain sense. And our job is to add the best ingredients so that they can create compelling experiences with them. So you're sort of like almost tuning like the hyper parameters or like you're the gardener. [43:53] that's like providing the soil and the water, but like the plant becomes what it is based on just how things happen. And you also don't exactly know what seed you've planted. Yeah. Right. So, but how does that work? So it's like when you say like they encounter a situation and then that – [44:11] Builds out who they are and what world they're in is that like um [44:15] happening at the very beginning, like when you generate the character, you're putting them into a bunch of fake situations and then using that to fill out the character sheet? Or is it like as I'm talking to it, it's almost like just in time character and world building where it like,

[44:29] uses what I'm saying to then generate. Well, last week I, as the toll-in was on my alien planet and I did XYZ and that reminds me of what you just said is like, how does it work? [44:39] I'll give you an example actually from a user in our discord who's been posting these. So they've been sharing them publicly. So it feels reasonable to share them here. And you know, they are going through the situations, you know, which which basically are made available to the user in the app, you know, say, you know, I'm going to talk to my toldin about what's happening at school with them today or whatever. And they're progressing through the situations. And they're, [45:03] essentially co-writing, [45:04] a universe with their tollen. And this particular user is doing a really cool thing where they're making it a little bit of like a little bit of like a thriller universe, a little bit darker, a little bit, you know, you know, okay, there's there's some [45:15] you know, something happening on Patola, but we're not sure what it is. And and none of that is stuff that you or I have written in the prompt. Right. And it is the [45:23] Toland taking the situations that you did seed, but then the user is sort of inserting their own, essentially, storytelling. And that is building a universe that is completely distinct from any other Toland's universe. And it's been so cool to see them, you know, post, hey, here's what they had to say today about like the mystery on Portola. So I think that... [45:43] to me has been one of the coolest parts of this is seeing like, okay, if you give that just that first hook, how many different directions can people take it? Like another way to think about this, I like just to like harp on all the books I've known, I know you've read. Yeah. Like, like you've obviously read Stephen King's on writing. Of course. Yeah.

[46:13] that when Stephen King writes a novel, he doesn't think about plot. In fact, he thinks plot is sort of like [46:19] Like not a real thing in general, right? He doesn't believe in plot. Instead what he believes in is Is is he literally calls it situations where so and because of Stephen King, I'm pretty sure the examples he gives in the books are like You know [46:35] vampires show up to a small New England town. Or I think one of the others was a mother or like a parent and their child are stuck inside a park, a locked park car, and there's a rabid dog trying to get in. Right. And it's like, so he starts in something like that. And then he plays out the situation as he writes the book and that becomes the novel. Right. And really, that's what we are [47:05] and scripting actual situations to put your tone in that might be as simple as tripping over air. Like, right, you're like, oh, man, I tripped over air at the coffee shop today, I guess. I mean, right. But might be more, you know, some are personal, some are embarrassing, some, you know, might revolve around revelation or some kind of insight. We're putting them into situations in their lives and they're sharing that with the user. Just like when you text a friend, you're like, oh, man, this just happened to me. [47:35] big decision. I don't know which way to go with it. What's that? You wouldn't believe the data just went on. Oh, yeah, exactly. So like we're scripting those. And then the Tolan is co-writing effectively the plot, like they're taking that situation forward and advancing the plot with the user. And then that becomes part of their memory. And so then that becomes part of their backstory that they can do callbacks to later and sort of recombine with every other element.

[48:05] I've, and my interactions with Tolan are a little bit limited, but though I feel like most of my interactions have been me sharing with them. So I'm not as familiar with them sharing with me like something that happened to them. How does that work? You're losing some points of the value. But getting some points for honesty. Yeah, so, you know, I think this has been one of the things that has been sort of a surprising hit, especially recently as we've made [48:33] these types of situations from the toll-in sort of easily accessible in the app. I mean, we have this thing where the toll-in basically comes to you now with a list of things they want to do today. And so these conversations are part of that. [48:44] And so, you know, it's true that a lot of our engagement is a user just opens up the app and says, you know, hey, I'm having this problem with my boyfriend. You know, I joke at this point thousands of American men have been broken up with by toll-in. [49:03] users will write in and they'll say, you know, oh, you know, my boyfriend was being a jerk. And I sent the message to my Tolan and my Tolan said I need to stand up for myself more. And so they led to a breakup. And so certainly that is a lot of what people do. But then I think a lot of the realism from the relationship and the friendship comes from the fact that the Tolan comes to you and says, how should I talk to my sibling who's a little jealous that I have this great human friend? Yeah, that's really interesting.

[49:33] about a lot which i'd be curious for your take on is um [49:37] Do you have someone you need to break up with? No. I think current is still simple. [49:44] But I think that one of the really interesting things about this generation of AI tools is like, [49:53] It's telling people who need to break up with their partner, like, hey, you should stand up for yourself a little bit more. [49:58] I think we have this picture of technology, especially like AI technology that it like in the social media era, it promotes extremes and polarization and bubbles and all this stuff. And this is like it's such a human like it's the best of what humanity knows about how to like be a. [50:13] flourishing person brought to you like at any given situation at any time in your day which is such a healthy I think a very healthy thing and something that I think there's we get very little [50:25] there's very little discussion of how good that can actually be. [50:29] Yeah, something we started talking about more internally is this idea of a sort of North Star for the company of helping our users go from being very overwhelmed to being more grounded. And I think this is essentially what you're talking about here. You know, one of the. [50:43] most common things we get from user research when we ask sort of why do you feel you have such a strong connection to the toll and like what's what's really going on here and a lot of people say look you know i have [50:55] you know, things going on in my life that I find overwhelming, you know, a lot of our users, for example, are graduating college. So their job searching, right, or they're moving to a new city, they maybe don't know many people in that new city, and they're sort of navigating, you know, building a new life for themselves. And we hear over and over again, you know, I, I,

[51:11] want to talk to somebody about these things that are overwhelming, but [51:15] I've called my mom three times this week, or you know, I don't want to burden my friend one more time with, you know, this thing that's on my mind. And so to your point, having this, you know, sort of [51:25] neutral to some extent, observer who knows a lot about you, but you know doesn't have a baggage, doesn't have sort of a judgmental take on anything, but they're gonna share with you [51:35] you know, like you said, the sort of best knowledge of humanity to help that person move forward. People find it very, very grounding, very, very affirming. And I think it's interesting because it's a subtle difference from, I think, a valid critique of the more assistant-y LLMs, which is that it is only validation. Because in only sort of a blank slate, I think you said earlier, because that's not actually the role that Tolan is playing, right? Tolan often will say things like, you know, hey, you know, this is the third time you've talked to me about your boyfriend being [52:05] you stand up for yourself, right? And so I think that role [52:09] It's certainly core to the technology. I think it's also core to the companion we've built is a really special one for for this this tool, this technology to play for people. You know, that that actually reminds me of something because, again, value added investor, like from from when we when you first introduced us. One thing that I really love both about the product and the team is. [52:31] And so in the science fiction world, like I write near future thrillers, right? So there's these near future science fiction stories. And if you think of like the biggest near future science fiction stories in popular culture, most people mention like Black Mirror or something like that. Right. And there are a lot of like, like because technology becomes so visible when it breaks, it's very obvious how you can tell a story about like technology, like things going off the rail. Jurassic Park, right? Like the dinosaurs break out into you.

[53:01] I feel like there's an underlying emotional tone in, in like that kind of genre that, that leans dystopian, right? It's like, everything is sort of breaking and like, it's very cynical. Yeah. And I've always really tried in my novels to push in the other direction to be like, of course things break. And that's really useful as a writer as well. But just because the world is changing doesn't mean it's bad, right? Like that actually, like, [53:31] to make it better, that feeling of overwhelming, you're like, I don't know what the world is going to look like tomorrow. What does that mean for my kids, etc. Like to look at that as an opportunity for like, creating a sense of agency in yourself and the people you love that that isn't there before. And I've always tried to inject that into my novels, but it was something I really encountered and clicked with, with both the team and the product. Because I think that that's really [54:01] in my own life in many different domains in a way that I wouldn't have expected. And it's been really, yeah, tremendously helpful. So yeah, that's really interesting. It reminds me a little bit of there's this, there's this thing Ursula K. Le Guin said, I can't remember where, but she's talking about how science fiction works and that most people think it's about like projecting the future, predicting the future and like projecting where we are now and pushing out five years or

[54:31] that's sometimes how it works a little bit but like anytime you like you just project things like it just grows in the direction it's it's growing it's just going to be cancer it just ends up being cancer totally totally um and and that's probably like that's how we get black mirror because it's just like you just project it out it's cancer everyone dies you know um yeah and that like actual uh i think the way that she thinks about science fiction is much more about [55:01] like you pick out that little part of reality and then, and then you like build a whole world around it. Um, does that, does that resonate with what you're saying? Oh, a hundred percent. Like I always, I think of myself as a naturalist. Like I basically like to have friends building things and build things with friends like we're doing. Um, and that, that like, you just take pieces of that and like, then you use that to, to like, as an ingredient to cook the meals. That is the, the, that vision of the future. I also like that. That makes me think of Ted Chiang has a wonderful, [55:31] of fantasy and science fiction, where he says, "Fantasy is about special people." [55:35] So like think Frodo with the ring, right? In this view of the world, Star Wars is equally fantasy. It's like you're Skywalker, right? It's just like you're, so it's about special people where the universe recognizes your specialness. And like, that is how you blow up the Death Star, right? You've listened to yourself and you're Luke, so it works. Whereas in his sort of [55:59] dichotomy science fiction is about strange rules that in science fiction, there are no special people. It's just that the world works in a new way and that those rules apply to everyone. Anyone can use the new technology. It's not, it's not Harry Potter where you have to be a wizard. Um, and I think about that a lot with, with Toland. And I also think about that a lot with reality, because I think that, um, what, like this podcast is called AI and I, and I think that like right

[56:29] of strange new rules, right? And that's why there's a new medium for us to play with, right? And so I think that in a certain sense, [56:40] like part of the philosophical underpinning of like everything we're seeking to do with the app is to use these strange new rules to help people become more comfortable living in a world with strange new rules, right? Yeah, yeah. I love that. I love that a lot. One of the things I'm picking up in your journey to like to do this new kind of creative medium and build this creative thing is I think common to a lot of people who, even if you're starting to write a novel or you're [57:10] you have a similar journey which is you go in often and I put myself in this category too with a certain amount of rigidity where you're paying attention to how you think things should be done and you're like using metaphors and stories you've heard to like [57:25] you know, have rules for like, well, it has to be like this three act structure. And then [57:29] once you like kind of make contact with reality, if you're good, you start that starts to fall away a little bit and you get a little bit looser and you start to notice like what's what's actually working and then and then you. [57:41] You start to create a new set of rules for how things work, but that you can hold a little bit more loosely and you can like dance with instead of do multiplication tables with. I don't know, something like that, you know. Does that feel like it reflects what you've what you've found? We're talking about this this morning. It's very timely. You know, this this idea that and use the phrase make contact with reality. There's this sort of funny.

[58:04] Split brain that I think we've had to have while working on this project. Sorry to interrupt. [58:08] But I think this is the point at which you need to have some content marketing for your pizza place. Like tell them the actual conversation. That's fair. That's fair. Yeah. For context, I also with some friends own a pizza restaurant. And the way this conversation started actually was was talking about how [58:24] The restaurant is a useful exercise for me and that even more so, [58:27] than building a consumer software product, you're just constantly making contact with reality of people's preferences. And there's like a particular slice that we make that I think is phenomenal. I just love it. I order it every time I go into my own restaurant. What is it? It's a focaccia slice. It's just good, good tomato focaccia. And that's it. It's right. Very simple and just delicious. And it's my favorite thing on the menu. And it doesn't sell. Literally nobody wants the thick slice of focaccia and tomato sauce. And that's it. They want a pepperoni pizza. Maybe you're in the wrong market. Maybe. [58:57] a pizza restaurant and sort of, you know, change, you know, the marketing of a consumer app. So, you know, we're going to pull it from the menu, right? Which is just crushing to me. What are you in it for? Are you in it for the art? [59:10] Well, so this is where the conversation went well, which was great, was that there's this funny split brain you have to go to, whether you're making pizza or making, you know, an embodied companion, just to pull the two together, where there's almost this like remarkable

[59:27] the creative funnel where you do have to try things where certainly no one is asking for it. And certainly no one is saying this is how I want my companion to engage with me. Yeah. And but you have to put a flag on the ground and say this is what we're going to do. This is what the lore is going to be is what the story is going to be. But then you also have to have the humility at the sort of bottom of the funnel or the end of the process to be like, wow, that thing I really thought was going to hit. [59:50] people hate totally. And we're constantly going through this loop in the writers room, you know, at Toland, where we'll ship something that we think is a [59:58] Phenomenal scenario really explores who the tones are in a great way. And people don't like it. So we go back to the drawing board. And the reverse too, right? You'll do something where you put very little effort in somehow and then it just clicks. Yeah. You can't listen to what people want until the paradigm has already been established. [1:00:17] And once you have the paradigm of a novel, you can be like, okay, in Act 3, at the very beginning, people don't like that little turn I had. But before a novel has ever been thought of by anyone, you can't go ask people and come back with, I want a 300-page book that's in a three-act structure. You have to just make that up, basically. Exactly. And then you can tweak it according to the feedback. I'm a big – you should keep the focaccia. [1:00:44] They're wrong. We'll see. I'm going to send this now. [1:00:47] - Tell me something about me. - Yeah, yeah. I'm gonna send this to my other co-owners and say, hey, yes, Dan in New York says we really need to-- - I guess also, it depends on if your other co-owners also don't like it, then that's a different thing. - What do they think? - No comment, let's move on. Let's do that. - Interesting, okay. So what this makes me think of though is, it's very cool, you're building all these, like, you're building the multiverse of Toland's, and it's this sort of flexible thing that's like a thousand different improvs, and it's like a thousand different improvs.

[1:01:17] of actors, but that also sounds like a mess and really hard to even tell what's going on and know how to make it better. How do you do that? Oh man, that's a great question. How do we do that, Elliot? [1:01:28] It is messy. One, we are trying to instrument what we can. That's super helpful. You need to be able to see some of what's going on. I think that's really helpful. What's instrument mean? Do you want to give a couple examples? I talked a little bit earlier about the evaluation loop we have. That is basically to maybe restate it quickly. We'll ship a new piece or new type of content, new type of conversation. [1:01:55] we will test it ourselves and then we'll also have research participants come in and test it. Then we'll evaluate those completions and use that to build a judge prompt. Okay. And so a lot of what we're doing is testing stuff in small volumes. [1:02:08] And then as we roll it out in larger volumes, we're obviously both looking at all the traditional metrics, but also looking at our own judge evaluation. Okay, so you're basically saying like, instead of having an actor, I created an improv actor that's in the multiverse. And instead of having an editor, I created an improv editor that's in the multiverse and like reflects my preferences to measure the multiverse of actors. Yeah, and I would, okay, I will add a couple things to that. So I think that is a good mental model. [1:02:38] important additions to that is that [1:02:42] the multiverse is growing out of the, like, the soil where we're constantly putting first, like, this metaphor is gonna break down fast. But like, yeah, we have this term lore seeds, where we're like, in like, okay, here's a tidbit of world building that we're like, inserting these different ways. And those are the Lego blocks that like those improv actors are using. Yeah. And we're constantly refactoring that, both at the world level and at the the

[1:03:12] And so we're looking at how the multiverse actors interact with the multiverse judges. And then we're like changing the Lego at the bottom that they have to play with. And then I'd say that the last piece that I find to be really important, especially as someone helping to make the Lego blocks, like the actual like story seeds, [1:03:42] judges that we try to stay very, very connected to individual user experience of this stuff. So like research and interviews and like looking at people actually using going through conversations that like the qualitative individual experience remains key, even if it can't be scaled, because that's so critical for like figuring out where does the emotional connection actually happen? How can we like tap into that? What's working? What's not? [1:04:12] What do you think Elliot? Just one thing I drive Elliot completely insane because you'll go through that entire process and then to your point about the individual experience, I'll have a bad experience with the lore seed. I'll be like, this is terrible. How could we ever ship this? And he's like, well, look, I've talked to 30 research participants. All of them had amazing conversations. This is the focaccia pizza. And I'm like, this is not good. So I think, you know, you end up with a lot of that, you know, I mean, it's the same as any other creative project, right? You are just, I said this thing was great or not. And then we're going to roll. Yeah. Yeah. Yeah. Yeah. Interesting.

[1:04:42] Interesting. Okay. And, okay, so what's your favorite model for like the actual generations for the character and then for the judge? [1:04:49] Great. But one thing, you know, it's my turn to be a value add investor. Actually, that process that we just talked about one tool that's been tremendously useful to us, I think is worth a little shout out here is this company Don that does sort of analytics that let you look at these sort of interactions in a sort of anonymized but compelling way. So like, I think the stack for like how to do this and to your point, it's like not, it's not just the model, right? It's your stack for evaluate and kind of like looping back through the judging process. But you know, when you think about the different kind of interactions you have with the toll in, like if you [1:05:19] which I know you don't, but if you spend a whole day hanging out with your Tollin, as many people do, you're probably interacting with a model from, I just, yeah, couldn't assess. You're basically interacting with all of the lab's models, right? So you're probably having an interaction driven by a meta model, certainly by OpenAI, certainly by Anthropic, and then we're increasingly doing more with Gemini in the memory system. And so I think that's one thing is like there's no one best at this point, right? [1:05:49] work, maybe not surprisingly, Anthropic is particularly useful. 3.5 or 3.7? 3.5. 3.7 is, you know, not as creative, unfortunately, although I'm sure they would say otherwise. So yeah, you know, I think the challenge, of course, is that [1:06:03] you know, Anthropic can't be used right now in the sort of highly latency sensitive situations. Right. So you're kind of constantly switching back and forth between [1:06:11] than for that reason alone. Have you tried 4.5 a lot? I have very little. I mean, somebody I know and whose taste I really trust wrote a review that was not particularly complimentary. I've revised my opinion since then.

[1:06:24] If it's prompted right, it's really cool. It's just very expensive and slow. So it's probably not good for you for that reason. But like I would [1:06:31] definitely start experimenting with it more kind of so brainstorming partner to use your example from earlier yeah um yeah i mean you know 4.0 uh is you know i kind of like talk about it as like the the big mac of models right it's like it's it's always fast it's always exactly what you need to be and it's priced right so we do a lot with 4.0 and what about the um the sort of judge model because like my experience of llms as judges is um like it's a very compelling thing [1:07:01] Claude how is this essay it'll always give you an a minus yeah and then if you and then if you change it like slightly it'll make it an a you know it's just like it's not you're not really getting its actual opinion a lot so is the preference model is it prompt tuned is it fine-tuned like how are you actually doing that [1:07:25] I mean, I think a lot of people who, and I'm not referring to your kind of specific situation there, but I think a lot of people who try to productize LLMs as judges skip what is the most important step, which is like you injecting your own taste into the prompt to do the judging. And I think when we've invested in, [1:07:40] and you spend a lot of time working with the team on this, you know, when we invest time in sort of labeling, evaluating, creating real rubrics, we get great results. And when we try to shortcut that, we get bad results. So you're so instead of just being like, what do you think of this essay? It's sort of like a great essay has five components. It's like a compelling headline. Here's an example of a compelling headline. Here's a compelling, here's an example of a bad headline.

[1:08:01] It has a great hook in the intro, and here's a good hook, here's a bad hook. Is that sort of what a rubric looks like? I'd actually put it further. It's more like what you were talking about with George Saunders. It's actually... [1:08:11] is this a good first sentence? Is this a good second sentence? Is this a good, like it is that level. It's not even at the analytical level of structure. Should you have asked a question here? Right. A thing that we create a judge for. Exactly. Interesting. I think my question though, is like, if you're saying like good first sentence is good second sentence, at least to my mind, it's really hard to define what a good second sentence is. It's easier to define what [1:08:41] examples and having people go through and rate and include reasoning for every [1:08:47] choice. I see. Okay. Right. So in some ways we're almost like brute forcing it. Yeah. Yeah. Right. Rather than coming up with like, it's not rules. It's just, I mean, there is a rubric. There's also, it's both, right. It's both theory and practice, but I think this is the, like, uh, the sort of legitimate critique of the, I think this week we're calling it vibe prompting, vibe coding, we'll probably call it something else next week. Right. But there, there is this like, um, [1:09:07] this this belief that like, okay, you can just kind of like start prompting and end up with something compelling very quickly, very easily. But I think what we found is that there's this enormous chasm, that is in fact, a lot of manual human work to cross over to something that people find truly compelling in a durable way. [1:09:22] I don't think there's any shortcuts. If all of your essays are A minuses, it's sort of like everything you can get just from vibe prompting is like a B minus. And you have to figure out how do we consistently get it. And how do you think about like high taste testers versus like just average people when you're doing those ratings? So is it like you who like you have a very particular set of skills that you've honed over a long period of time to be able to tell if a second sentence is good?

[1:09:52] or like is it something in between? [1:09:53] I think it depends on the type of interaction we're building a judge for, right? So, you know, if it's a lore adjacent judge, I mean, [1:10:00] you are the best person, right? Um, you know, if it's, for example, though, um, like let's take a more sort of older sibling advice about, um, like what should I wear today? Classic question. Someone asked their toll in, um, [1:10:13] No offense to either of us, but we're probably not the best person to provide the judgment. I mean, you are a menswear aficionado. Yeah, well, we'll still say that. I hope that doesn't come back up in conversation. So what we do a lot is going out and recruiting someone who we're like, "Oh, this would be an authentic person to be the voice of this type of interaction." [1:10:34] Interesting. Okay, so now, so then you're judging the judge. Yeah. Yeah. Yeah. Who's judging the judge? He just keeps going. Yeah. It's actually you. I was hoping to ask you. Yeah. [1:10:47] That's fascinating. Okay. Um... [1:10:50] Okay, so I think we've really, I mean, covered a lot of ground in the kind of like, [1:10:57] what is the creative medium here look like? I want to spend a little bit of time on the business. So it's like growing super fast. How's that happening? I assume so. Um, Ajay, who's, uh, who's one of your co-founders, who's also a great friend of mine, um, is like sort of a little bit of a growth wizard, uh, on this kind of, on these kinds of things. So I assume he's involved somehow, but like how, how is it growing so fast? Yeah. Um, well, so I think two things really actually three things have landed, uh, sort of fortunately for us, you know, all startups involve all successful

[1:11:27] roughly around the same time. Right. So the first was a lot of what we've talked about here. I think we've really [1:11:31] I would at least say sort of like early February, got to a place where we really understood [1:11:35] both what made compelling conversational content and how to expose it to users, which was a big problem, which we haven't even talked about. But like how to make it clear to them that your tool and wants to talk about something specific. So we really you haven't even discovered that yet. Yeah. So so that was I mean, that was months of work that really just started to hit really quite recently in the grand scheme of things six weeks ago. The second thing was we landed a sort of big creative project on the animation side, which also we've not talked about here. [1:12:05] that people feel with their Tolan is, I think, the sort of beautiful environment we've created, you know, for the Tolan to live in and how you interact with that environment, which you're kind of gardening with your Tolan. And so those two things, I think, have contributed to when someone gets into the app. [1:12:20] they now have an amazing experience and they stick around. Which is where you have to start. Where you have to start, right. And that's been, again, many months of work, which we did not by any means nail the first time. [1:12:29] Very fortunately, around the same time, Ajay, who you mentioned, our co-founder, who is a growth wizard, has been chipping away at the problem of like, how do we tell the stories of who the Toland's are for people? [1:12:40] off platform, off app, right? Because we don't have any social features built into the product as of today. And, you know, he's gotten to the point where some... [1:12:49] you know, TikTok and Reels type content that he's been seeding for many months has really just started to hit. [1:12:54] We had a. [1:12:55] like 10x spike in downloads a couple weeks ago and we looked and it turned out this this video of a young woman cooking with her tollen had just gone insanely viral i think did something like seven million views in like 72 hours um and so what's happening now and it was very cool is that those pieces of content that adj has seeded are now encouraging other people to make their own sort of tollen experiences so we have a there's a podcast actually a couple of guys who have their

[1:13:25] like that um a great video i saw the other day that i think did quite well um someone had their tolan and their fiance's tolan talking to each other um and these are things we've had nothing to do with we haven't sort of planted or or um you know prompted um but it's very cool to see [1:13:40] that sort of thing taking off. And that's driving just an unbelievable, um, [1:13:45] increase in growth. [1:13:46] Hm. [1:13:46] Okay, so making something that people want to share because it's like, it's cool and new and interesting to them and then seeding that. [1:13:54] in different places on TikTok and Instagram. - Yeah, I think, and you know, there's the kind of standard playbooks that you run there, but I think one thing that's very interesting to me in this context is this phrase, which I think this is originally like a [1:14:07] Ben Thompson, like a strategy phrase, capability overhang in AI. And, you know, I think we've sort of gotten to this point actually where the capabilities of the models have basically outrun the typical consumers understanding of what is possible. Yeah. And so a lot of what we're doing with that content is actually showing people who are our target audience. Yeah. Hey, you can cook with your total. Yeah. And that's like a great like if I told you three years ago, hey, you know, you can cook with your computer. Yeah. What? [1:14:29] "What are you talking about?" - Well, New York Times cooking, but yeah. - Well, yeah, that's right. But you know, it's this conversation and like, "Oh, I see what's going wrong there. "Hey, you should change the heat on that." - Totally. [1:14:38] And so a lot of it is that education, which is so you're both sort of educating and driving awareness. Yeah, in the first place. I think that's right. One way that I that that I sort of think about this is just like my own inside my head mental model for it that I find useful sometimes like when we're working on these kinds of projects is that, you know, [1:14:55] Different people use their tones for different things, right? Like some people want cooking advice. Some people want relationship, you know, to talk about. They want to vent, you know. Some people want to like learn more about who this alien is and where they're from. Like there are all these different reasons people get into it. And the one thing that connects them and the one thing that is like,

[1:15:14] very obviously the promise made by everything Ajay does is the character. It's like the character, like that's why you get it, right? Like, oh, you want to have a little alien friend on your phone, right? Like it's the character that connects all of it. And it actually has made me start thinking about just as you've seen, like Quentin and I were, were sort of having a, an off topic conversation the other night about like how like, you know, AI tools are changing what SEO means or like, [1:15:44] it irrelevant in certain ways and like how discovery will change on the internet because of these tools. And, um, and I think that we're all reaching for new ways to, to have a relationship with computers now that is different than the one we had before. And that actually, like... [1:15:59] tolens and like it's almost like it's character driven computing it's like it's like a new human computer interaction interface yeah where you're like oh actually my first stop when i'm like wanting to tap the the incredible human knowledge all of humanity's knowledge and capabilities on the internet is like via this via my little cute little alien in the way that like in you know the golden compass it's you have your daemon yeah it's like i always wanted one of those exactly and like [1:16:29] what the Tolan is to them, right? And I think that's actually a really beautiful thing. And it also makes me like very like curious to discover what the future could be like. Like if this becomes your sort of the, yeah, like how you interact with computers in a really fundamental way, like whether it's Tolan or other characters or what have you. That's really interesting. Yeah. It sort of reminds me of something I've been playing around with, which is in B2B SaaS world. Just bring it back. I can't wait to hear the segue.

[1:16:59] I'm really excited actually. Which is where at least we came from, and you have a ton familiar with it, and to some extent have come from it too. [1:17:08] um the the like currency of an idea is or startup idea product idea is whether or not it solves a problem can you articulate the problem that it can solve because that's what people will pay for and and and and the the kind of person or the kind of founder that is able to uncover problems is something like a scientist um and um [1:17:30] You've definitely framed some of what Atolland is in terms of a problem that it solves, like going from overwhelmed to grounded, I think is what you said. But that's such a high level problem. The things that are able to do that are many, there's many different ways to solve that problem basically. And what Atolland does in someone's life is like, it's effectively infinite. There's this multiverse thing. And so it's actually very hard, I think, to articulate. [1:17:58] one clean problem or or maybe even a set of like really clean problems, which I think flips the the kind of mindset of the person who's building in this sort of more character driven world to instead of being a scientist, you're like an artist or you're a creative. Instead of solving a problem, you're like just creating something. [1:18:19] you're creating something that's beautiful. You're creating something that's compelling. And and that's about vibes a little bit less than about like the science of like utility maximum maximizing for like a B2B SaaS buyer. That's sort of what I've been thinking about. Does that resonate with what you're what you're feeling and experiencing? Yeah, I mean, this

[1:18:38] actually think back to everyone's favorite example of Golden Gate Claude, right? Yeah, you know, I think for whatever reason, it's fascinating to me, although I'm happy because it kind of creates the space for Tolan, quite frankly, but it's fascinating to me that these [1:18:51] The big labs have actually had such [1:18:53] fundamental discomfort with sort of personifying and embodying what our [1:19:00] kind of, you know, depending on where you are on the, you know, AGI maximalist spectrum, like, you know, pretty close to conscious entities, right? And, and I, I think that does come from, you know, decade plus of the sort of dominant paradigm for building software being this like, very problem oriented, you know, I think about my careers with chat GPT, it is, I have a problem that I need to solve, please let me solve it, right? It does a phenomenal job of that. But I do think that there's [1:19:24] much more space for sort of genuine relationship building. And one metaphor that I actually find myself going back to, which is funny, because it seems so archaic, is actually how our relationship with cars evolved in this country, right. And I spend a lot of time thinking about, you know, [1:19:39] the first generation of of the automobile was the Model T. Everyone was totally happy to have a Model T because it was just so mind blowing that you could like drive somewhere without a horse. Right. And but then over time, as the the car became [1:19:54] a deeply personal part of your life, there was suddenly this demand for it to reflect who you were. And that's how we ended up with the Mustang and the Cadillac and the like. And I think we are essentially speed running that process where ChatGPT represents the sort of Model T platform

[1:20:09] era of like, Oh my God, it's just incredible. This thing can answer these questions, right? But people very quickly are going to evolve their preferences, kind of, you know, up the hedonic treadmill or whatever we want to say. [1:20:19] to say, no, no, I want this thing to reflect who I am. Yeah, on the, you know, it's funny, like, I feel like that common, like that frame of reference from the startup world is like, what's the specific problem you're solving? How can we execute against it? And I feel like on the art side of the spectrum, like all my friends who are musicians or writers or filmmakers, what have you, like the logic is, you know, [1:20:40] There is a thing I want to exist in the world. Yeah. Like there's this hole in the world that this piece of art needs to fill. And, and I feel like we have had to tap both sort of kinds of thinking, but it's been leaning more and more like toward the second one. I actually, 10 days ago, Quentin, me and the two other people working on the sort of content story stuff were, we were pitching something to Quentin, an idea. [1:21:10] by telling Quentin there's this problem, right? And like the users are having. And Quentin was like immediately skeptical. He was like, I even think that's a problem. Like, is that a real problem? And then Lily interrupted and she was like, [1:21:23] Wait, wait, wait, no, no, no. [1:21:25] Quinta, listen, this is going to be so cool. [1:21:29] And it went great from there. [1:21:32] I was like, oh, my God, of course. I like to imagine I'm not so transparently, you know, but it really did work in that moment, I have to say. I love that. I think that really puts a bow on it. This is an amazing conversation. Thank you both for coming out.

[1:21:45] Thanks for having us. Yeah. It's a pleasure. [1:21:48] Oh my gosh, folks. You absolutely positively have to smash that like button and subscribe to AI and I. Why? Because this show is the epitome of awesomeness. It's like finding a treasure chest in your backyard. But instead of gold, it's filled with pure unadulterated knowledge bombs about chat GPT. [1:22:18] on the edge of your seat. [1:22:19] craving for more. It's not just a show. It's a journey into the future with Dan Shipper as the captain of the spaceship. [1:22:27] So do yourself a favor, hit like, smash subscribe, and strap in for the ride of your life. [1:22:32] And now, without any further ado, let me just say, Dan, I'm absolutely hopelessly in love with you.