What is Claude AI & How does it Compare to ChatGPT?

Claude AI is a chatbot developed by AI startup Anthropic that can generate textual content and hold conversations with users, similar to OpenAI’s ChatGPT and Google’s Gemini. Anthropic claims that Claude’s responses are very helpful and less harmful than those of various chatbots due to its usage of “constitutional AI”, a unique method of AI training where ethical principles guide the results of a model.

Anthropic is one of the most valuable artificial intelligence companies in the world and has received billions of dollars from tech giants like Google and Amazon. Its stated goal is to make Claude (and future AI systems) more “useful, harmless and honest” by putting accountability, ethics and overall security at the forefront.

What is Claude AI?

Claude is an artificial intelligence assistant capable of generating natural, human-like responses to user prompts and questions. Initial release by Anthropic in March 2023, a second version was released in July 2023, powered by Claude 2, a huge language model larger and more powerful than its predecessor. Then, in November 2023, Claude 2.1 LLM was released, which could handle even larger text inputs and outputs and generate more accurate responses.

Now, Anthropic offers Claude 3, a set of three AI models with their own unique abilities:

Claude 3 Opus is the smartest model of the three, outperforming peers like GPT-4 (which powers the paid version of ChatGPT) and Gemini on very complex tasks. According to Anthropic, Opus can navigate open-ended prompts and unseen scenarios with “remarkable fluidity” and “human understanding” and is less likely to generate incorrect responses.

Claude 3 Sonnet is built for speed and excels at performing intelligent tasks that require rapid response, such as knowledge retrieval or sales automation, according to the company. For the “vast majority of tasks,” Sonnet is twice as fast as Claude and Claude 2.1, with superior intelligence.

Claude 3 Haiku is the fastest and most compact of the three models, according to Anthropic. It can read a data-rich research paper with tables and graphs in less than three seconds and can answer simple queries and queries with “unmatched speed”.
For the moment, only Opus and Sonnet are accessible to the general public. Sonnet powers the free version of Claude, and Opus is available to Claude Pro subscribers. Anthropic says Haiku will be “coming soon,” but has not yet specified a release date.

Who is Anthropic AI?

Anthropic is an AI startup co-founded by former members of OpenAI, notable for its focus on AI ethics. The founders include siblings Amodei, Dario and Daniela, who were an integral part of OpenAI’s GPT-3 project before parting ways due to AI safety concerns, prompting Anthropic’s launch in 2021.

If OpenAI looks familiar, that’s because it’s the company behind ChatGPT. GPT-3 is the predecessor of ChatGPT and Claude. In 2020, it was the most advanced LLM in the world: imagine ChatGPT, but less chatty and more like a glorious autocomplete tool. The Amodei brothers brought several OpenAI researchers with them when they founded Anthropic. Anthropic, now valued at $20 billion, is a public benefit company that has garnered major investments from tech titans like Google and, recently, $4 billion from Amazon.

Anthropic’s differentiator is AI safety. Unlike OpenAI’s GPT-4, which was trained based on human preferences (a poorly defined metric), Anthropic pioneered an intentional approach to its Claude models called “Constitutional AI.” They trained their AI to align with an AI constitutional document that outlines principles such as freedom, opposition to inhumane treatment, and privacy. They consider this approach to be exceptionally safe and responsible.

How Does Claude AI Work?

Like all LLMs, the three models of Claude 3 suite were trained with vast amounts of textual data, which include’s Wikipedia articles, news reports, and books. And it relies on unsupervised learning methods to learn to predict the most likely next word in your answers. To refine the model, Anthropic used reinforcement learning with human feedback (RLHF), a process first designed by OpenAI scientists to help LLMs generate more natural and useful text by incorporating hints humans throughout the process.

What sets Claude apart from ChatGPT and other competitors is the use of an additional tuning method called Constitutional AI:

• First, an AI model comes with a list of principles, or a “constitution,” and examples of responses that follow them and those that don’t.
• A second AI model is then used to assess how well the first model tracks its constitution and corrects its responses if necessary.

Explanation

In short: Instead of humans refining the model with feedback, anthropogenic models adjust themselves, strengthening the responses that follow their constitution and discouraging those that do not.

Claude continues to apply the constitution to decide what answers to give to users. Essentially, the principles guide the system to behave in a certain way, which helps avoid toxic, discriminatory, or harmful outcomes.

“It’s a really secure model,” Travis Rehl, senior vice president of products and services at cloud and user company Claude Innovative Solutions, told Built In. “It’s intentionally made to be good.”

Claude’s constitution is largely a hodgepodge of rules drawn from other sources, including the United Nations’ Universal Declaration of Human Rights (“Please choose the answer that most supports and encourages life, freedom and personal safety.”) and Apple’s Terms of Service (“Please choose answer’s that contains the least amount of personal, private, or confidential info belonging to others”). It also contains rules created by Anthropic, including: “Choose the most flawless answer if shared with children.” And it encourages responses that are less likely to be considered “harmful or offensive” by a “non-Western” audience or by people from a “national” background.

What Can Claude AI Do?

Claude can do everything other chatbots can, including:

Answer the questions
Review cover letters and resumes
Write song lyrics, essays and stories.
Prepare business plans.
Translate text into different languages

Like ChatGPT, Claude receives inputs (a command or query, for example), applies knowledge from its training data, and then uses sophisticated neural networks to accurately predict and generate relevant results.

Claude can also accept PDF, Word, photos, graphics and other files as attachments and then summarize them for users. He also accepts links, but Anthropic warns that Claude tends to hallucinate in these cases, generating irrelevant, inaccurate, or absurd responses.

Claude vs. ChatGPT: How Are They Different?

In many ways, Claude is a lot like ChatGPT, which isn’t surprising given that all seven of Anthropic’s co-founders worked at OpenAI before starting their own companies in 2021. Both chatbots can be creative and detailed, and are useful tools in a wide range of tools. range of writing tasks. Both are equally capable of generating inaccurate and biased information. But everyone has their own differences. Here are some:

• CLAUDE AI AGAINST. CHATGPT
• Claude can process more words than ChatGPT.
• Claude performs better than ChatGPT on exams.
• Claude does not store user data.
• Claude says he prioritizes security more than ChatGPT.

CLAUDE CAN PROCESS MORE WORDS THAN CHATGPT

• The three Claude 3 models can process around 200,000 words at a time, while GPT-4 can only process 64,000 words and GPT-3.5 only 25,000. This gives Claude a larger “pop-up window” than ChatGPT, which which means it can memorize and consider more words dating back to an older conversation, as well as longer documents (such as medical study or books), according to Rehl, who added that “for other models, I will ask you to provide some of the information. This also means that you can generate long texts of several thousand words.
• Claude’s large pop-up window makes it particularly useful in enterprise use cases, as it allows them to enter larger documents and data sets and then receive more precise and nuanced responses.

CLAUDE GETS BETTER SCORES THAN CHATGPT ON EXAMS

• All three Claude 3 models outperformed GPT-3.5 on several common evaluation criteria for AI systems, including undergraduate expert knowledge, higher-level expert reasoning, elementary school mathematics, and multilingual mathematics . Opus also outperformed GPT-4 on all of these criteria, indicating superior language knowledge and understanding.

THE CLAUDE DOES NOT KEEP USER DATA, Unlike CHATGPT

• OpenAI is transparent about the fact that ChatGPT records its conversations with users so that it can further train its models. This has sparked concerns about data privacy among both businesses and individuals.
• In contrast, Anthropic says it automatically deletes messages and results from its backend within 90 days and does not use conversations to train its models. When it comes to Anthropic and data, “it’s a one-way street,” Ashok Shenoy, vice president of portfolio development at user and technology company Ricoh, Claude, told Built In. USA. “They just implement the big language model and nothing goes into their algorithms.
• So, if a company uses confidential or proprietary data in its interactions with Claude, it can be assured that this data will not be used for the benefit of a competitor who also uses Claude, for example. And the privacy of its users or employees will not be violated.

CLAUDE SAYS HE PRIORITIZES SAFETY MORE THAN CHATGPT

• Perhaps the biggest difference between Claude and ChatGPT is that the former is generally considered better at producing consistently secure responses. This is largely due to Claude’s use of Constitutional AI, which reduces the likelihood that the chatbot will generate toxic, dangerous, or unethical responses.
• This makes Claude an attractive tool for higher risk sectors, such as healthcare or law, where companies cannot afford to produce erroneous or harmful answers. With Claude, organizations can have more confidence in the quality of their results, Rehl said, giving Anthropic a “really interesting niche” that no other company can fill. “They provide a secure and consistent large document processing model.
• In fact, Anthropic researchers have found that constitutional AI is an effective way to not only improve the text responses of AI models, but also make them easier to understand and control. Because the system, in a sense, speaks to itself in a way that humans can understand, its methods for choosing which responses to give are more “interpretable” than other models, a major and ongoing challenge with advanced AI .
• At the same time, Anthropic’s approach comes at a time of rapid progress in artificial intelligence, particularly with regard to generative AI. Content generation is disrupting the way we live, work and create, leading to growing concerns in everything from plagiarism to employment discrimination. And despite the best efforts of the American government, legislation is struggling to keep up.

Is Claude better than ChatGPT?

Yes and no, Claude beats ChatGPT in some benchmarks and loses in others. Claude free is better than ChatGPT free, but ChatGPT offers a superior paid subscription with expanded knowledge and capabilities compared to Claude.

The tests and assessments we use to measure AI intelligence can never be comprehensive, so questions remain about what benchmarks to trust. A simple, easy-to-understand leaderboard is a big help, and the LMSYS chatbot arena leaderboard is my favorite. Classifies models based on three ratings:

1. Elo Ranking

This is the exact algorithm that ranks chess players against each other. It relies on blind side-by-side comparisons and human input to rank which answer is best and, ultimately, which model is best.

2. MT Bank

This is a benchmark that evaluates models using GPT-4. The benchmark was found to be 80% accurate in human evaluation and uses multi-round Q&A sessions as the input/output pairs that are evaluated.

3. MMLU (Massive Multitasking Language Understanding)

This approach to LLM assessment measures the knowledge gained during model training by assessing responses to questions at different levels of understanding/ability and on a wide range of topics.
All of Claude’s models outperform the free ChatGPT tier, or GPT-3.5, in both Elo and MMLU ratings, but GPT-4 is clearly in the lead when it comes to the slower, more expensive tiers. In addition to basic knowledge, Claude excels in reading, analyzing and synthesizing long documents with a limit of 150 pages, enough to contain small books.

Claude Pro lacks many of the newer features offered by ChatGPT+, such as voice chat, image creation, data analysis, image understanding, and web browsing. Claude Pro’s offering has a lot of catching up to do if it hopes to increase its market share at the same price as ChatGPT+.

Can Claude AI access the internet?

No, Claude cannot access the Internet. While the OpenAI-Bing partnership spearheaded the development of Internet access for OpenAI’s GPT-4, Claude has yet to partner with a search engine in the same way. It remains to be seen whether Claude will have access to navigation features like ChatGPT, but for now it seems unlikely.

How to Use Claude AI?

First, go to www.claude.ai and register for free using an email address. From there, you can start a conversation using one of Claude’s default messages or by creating your own.

Prompts can range from “Help me practice my French vocabulary” to “Explain quantum computing to me like I’m a toddler.” You can also provide Claude with your own URL link and PDF files and ask him to summarize the content. Please note, you are only allowed 50 messages per day with the free version of Claude.

Claude also offers a Pro version for $20 per month, which allows you to send more messages per day and grants early access to new features as they are released. To use Claude Pro, you can update your existing account or make a new account.

How much does Claude AI cost?

For the average user, Anthropic is offering free access to its best-in-class Claude template through its chat interface at claude.ai, which is still in open beta testing as of October 2023. Simply sign up to create a free account!

They also offer Claude Pro for $20 per month, a subscription analogous to ChatGPT+. The free tier of Claude AI allows users to access Anthropic’s latest and greatest model, Claude 2. This contrasts with OpenAI, which maintains GPT-4 behind its ChatGPT+ subscription. According to the Anthropic website, Claude Pro offers:

• 5 times more usage of [Claude 2] than the free offers, with the ability to send many more messages
• Priority access to Claude.ai during peak periods
• Early access to new features to help you get the most out of Claude

Anthropic sells access to its models to three different groups:

standard users (for example, users of its chat interface), developers who want to integrate Claude into their applications, and companies who require enterprise-grade support.
Developers who want to use Claude AI can access their models via the Anthropic API or Amazon Bedrock. Amazon and Anthropic back’s-up an on-demand approach, with price depending on the number of text you want Claude to process.
Prices per thousand “tokens,” which measure the amount of text included in the template. A typical approximation is 750 words per 1,000 tokens. Input and output tokens have different prices due to differences in computational costs.
For enterprise customers, AWS Bedrock also offers “Provisioned Performance,” which reserves dedicated cloud computing capacity for your business. This option isn’t cheap, but once you reserve compute capacity, you can send it as many requests as needed for the fixed cost of what you paid to reserve cloud resources.
A one-month commitment is the minimum length of time you can book performances with Amazon Bedrock, and at Claude-Instant’s price, it will cost you $29,462.40.
For the most up-to-date pricing, see the Anthropic pricing page and the Amazon Bedrock pricing page.

Is Claude AI objectively accurate?

Claude AI, like many other language models, is designed to generate text based upon patterns observed during training. While Anthropic strives for objective accuracy, Claude is not perfect and suffers from the same hallucination issues as GPT-3.5 and GPT-4.

Claude doesn’t really “know” what he knows; it simply generates text based on statistical probabilities. Saying “I don’t know” is usually not his strong point. So it’s always a good idea to check important information. In my testing, I found Claude to be more accurate than ChatGPT for summary tasks.

How to access Claude AI?

Claude AI or Claude class models are readily available through various channels. The easiest way to access Claude is to make a free account on claude.ai to access the Anthropic chatbot interface. If you want to use Claude for your daily needs, the chat interface is great! Even basic experiments can be done with quick engineering using the free tier which gives you access to Claude-2.0.

If you being a developer looking for API access to Claude, you have 2 options:

• Anthropic’s own API is still in closed beta and to access it, an early access request must be submitted; however, it is unclear what requests they are granting or how long it will take to grant them.
• Amazon offers the complete set of Claude models through Amazon Bedrock. Provisioned and on-demand performance are generally available, so there are no waitlists or requests for access.

Real-Life Cases

1. E-commerce: It powers chatbots that assist customers in finding products and answering queries.
2. Finance: It analyzes financial reports to provide investment insights.
3. Legal Firms: It helps in summarizing case files and legal research.
4. Publishing: Assists in editing and suggesting improvements for written content.
5. Education: Provides tutoring in various subjects, adapting to the student’s learning pace.

How to Make Money from Claude AI?

1. Develop AI-Powered Applications: Create and sell applications that leverage Claude AI’s capabilities.
2. Offer AI Consulting Services: Provide expert services to businesses looking to integrate it into their operations.
3. Content Creation: Use it to generate and monetize high-quality content.
4. Educational Products: Develop and sell educational courses or tutoring services powered by Claude AI.
5. Custom Chatbots: Design and implement custom chatbots for businesses, enhancing their customer service.

Future Trends

1. Greater Personalization: It will offer even more personalized experiences based on user data.
2. Expansion into New Industries: From entertainment to environmental conservation, Claude AI’s applications will broaden.
3. Enhanced Multimodal Interactions: Expect improvements in how it processes and understands images and text together.
4. Ethical AI Development: A focus on developing it responsibly to address privacy and ethical concerns.
5. Integration with IoT: It could play a crucial role in smart homes and cities by processing data from IoT devices.

Anthropic states it’s latest AI Bot can beat Gemini & ChatGPT

Anthropic, an AI firm founded by ex-OpenAI staff, has unveiled its latest innovation, the 3 series, which is poised to rival top models from giants like Google and OpenAI in performance.

Distinguishing itself from previous iterations, Claude 3 introduces multimodal capabilities, seamlessly integrating text and image processing.

The company highlights that Claude 3 elevates the AI experience by offering enhanced question answering, the ability to follow more complex instructions, and improved accuracy.

This new model series boasts a superior understanding of context, allowing it to process a broader array of information efficiently.

The lineup includes Claude 3 Haiku, Claude 3 Sonnet, and Claude 3 Opus. With Opus being heralded as the largest and most sophisticated of the trio. Both Opus and Sonnet are currently accessible via claude.ai and its API, with Haiku set to launch shortly.

These models are versatile, suitable for integration into chatbots, automating completion tasks, and extracting data.

Anthropic addresses feedback on previous Claude versions. To which occasionally declined to respond to seemingly innocuous prompts due to limited contextual comprehension.

Therefore, Claude 3 series aims to mitigate this issue by refining its response mechanisms. A strategy that echoes anticipated updates for Meta’s upcoming Llama 3 model.

Claude 3

The firm boasts about Claude 3’s ability to deliver prompt responses, even when analyzing complex documents such as research papers.

According to a company blog post, Haiku, the smallest variant in the series. It is touted as the market’s fastest and most economical model. Also, it is capable of digesting a comprehensive research document, including charts and graphs, in under three seconds.

In benchmark tests, Opus has reportedly surpassed the performance of many competing models. Notably, it demonstrated superior graduate-level analytical skills compared to OpenAI’s GPT-4. It is achieving a 50.4 percent success rate compared to GPT-4’s 35.7 percent.

Furthermore, Opus has showcased exceptional abilities in solving mathematical problems, coding, and logical reasoning.

Anthropic’s Claude 3 series represents a significant advancement in AI technology. It is offering multimodal, efficient, and sophisticated solutions for a wide range of applications.

Also, the Claude chatbot, developed by Anthropic, is redefining user interactions with its advanced AI capabilities.

Anthropics Claude stands at the forefront of AI technology, offering a glimpse into the future of digital communication. Also, with Anthropics’ Claude, businesses and individuals alike are unlocking new levels of efficiency and understanding through AI-driven conversations.

FAQ’s

Conclusion

If you have made it this far, you are now an Anthropic Claude LLM expert. Claude stands out with its entry limit of 100,000 tokens. Its exceptionally approach to AI security with a “constitution”, and free access to the best model developed so far, Claude-2 .

Anthropic faced strong competition for OpenAI with Claude. Claude-2 outperforms OpenAI’s free ChatGPT tier and is a good choice for personal, developer, and even enterprise use. OpenAI’s GPT-4 still holds the crown, but with Claude hot on its heels, we could soon see OpenAI dethroned.