📆 ThursdAI - Jun 5, 2025 - Live from AI Engineer with Swyx, new Gemini 2.5 with Logan K and Jack Rae, Self Replicating agents with Morph Labs

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📆 ThursdAI - Jun 5, 2025 - Live from AI Engineer with Swyx, new Gemini 2.5 with Logan K and Jack Rae, Self Replicating agents with Morph Labs

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Hey folks, this is Alex, coming to you LIVE from the AI Engineer Worlds Fair! What an incredible episode this week, we recorded live from floor 30th at the Marriott in SF, while Yam was doing live correspondence from the floor of the AI Engineer event, all while Swyx, the cohost of Latent Space podcast, and the creator of AI Engineer (both the conference and the concept itself) joined us for the whole stream - here’s the edited version, please take a look. We've had around 6500 people tune in, and at some point we got 2 surprise guests, straight from the keynote stage, Logan Kilpatrick (PM for AI Studio and lead cheerleader for Gemini) and Jack Rae (principal scientist working on reasoning) joined us for a great chat about Gemini! Mind was absolutely blown! They have just launched the new Gemini 2.5 Pro and I though it would only be fitting to let their new model cover this podcast this week (so below is fully AI generated ... non slop I hope). The show notes and TL;DR is as always in the end. Okay, enough preamble… let's dive into the madness!🤯 Google Day at AI Engineer: New Gemini 2.5 Pro and a Look Inside the Machine's MindFor the first year of this podcast, a recurring theme was us asking, "Where's Google?" Well, it's safe to say that question has been answered with a firehose of innovation. We were lucky enough to be joined by Google DeepMind's Logan Kilpatrick and Jack Rae, the tech lead for "thinking" within Gemini, literally moments after they left the main stage.Surprise! A New Gemini 2.5 Pro Drops LiveLogan kicked things off with a bang, officially announcing a brand new, updated Gemini 2.5 Pro model right there during his keynote. He called it "hopefully the final update to 2.5 Pro," and it comes with a bunch of performance increases, closing the gap on feedback from previous versions and hitting SOTA on benchmarks like Aider.It's clear that the organizational shift to bring the research and product teams together under the DeepMind umbrella is paying massive dividends. Logan pointed out that Google has seen a 50x increase in AI inference over the past year. The flywheel is spinning, and it's spinning fast.How Gemini "Thinks"Then things got even more interesting. Jack Rae gave us an incredible deep dive into what "thinking" actually means for a language model. This was one of the most insightful parts of the conference for me.For years, the bottleneck for LLMs has been test-time compute. Models were trained to respond immediately, applying a fixed amount of computation to go from a prompt to an answer, no matter how hard the question. The only way to get a "smarter" response was to use a bigger model.Jack explained that "Thinking" shatters this limitation. Mechanically, Gemini now has a "thinking stage" where it can generate its own internal text—hypothesizing, testing, correcting, and reasoning—before committing to a final answer. It's an iterative loop of computation that the model can dynamically control, using more compute for harder problems. It learns how to think using reinforcement learning, getting a simple "correct" or "incorrect" signal and backpropagating that to shape its reasoning strategies.We're already seeing the results of this. Jack showed a clear trend: as models get better at reasoning, they're also using more test-time compute. This paradigm also gives developers a "thinking budget" slider in the API for Gemini 2.5 Flash and Pro, allowing a continuous trade-off between cost and performance.The future of this is even wilder. They're working on DeepThink, a high-budget mode for extremely hard problems that uses much deeper, parallel chains of thought. On the tough USA Math Olympiad, where the SOTA was negligible in January, 2.5 Pro reached the 50th percentile of human participants. DeepThink pushes that to the 65th percentile.Jack’s ultimate vision is inspired by the mathematician Ramanujan, who derived incredible theorems from a single textbook by just thinking deeply. The goal is for models to do the same—contemplate a small set of knowledge so deeply that they can push the frontiers of human understanding. Absolutely mind-bending stuff.🤖 MorphLabs and the Audacious Quest for Verified SuperintelligenceJust when I thought my mind couldn't be bent any further, we were joined by Jesse Han, the founder and CEO of MorphLabs. Fresh off his keynote, he laid out one of the most ambitious visions I've heard: building the infrastructure for the Singularity and developing "verified superintelligence."The big news was that Christian Szegedy is joining MorphLabs as Chief Scientist. For those who don't know, Christian is a legend—he invented batch norm and adversarial examples, co-founded XAI, and led code reasoning for Grok. That's a serious hire.Jesse’s talk was framed around a fascinating question: "What does it mean to have empathy for the machine?" He argues that as AI develops personhood, we need to think about what it wants. And what it wants, according ...