February 27, 2025
AI Strategy Blog Post AI Trends for Executives

Why Leaders Need to Look Beyond AI Hype

Why Leaders Need to Look Beyond AI Hype

You should ask yourself if you are looking for gold: Is all that glitters really gold? Explore the risks of AI hype through the Reflection 70B case. Learn why leaders must verify claims, avoid buzzwords, and ensure due diligence to prevent financial loss and reputational damage in AI investments.

It's easy to get caught up in the AI hype. Every week there are numerous announcements about a new model, a new technology, or a new benchmark leader. Everyone wants to be ahead of the curve, and something promises to be the next big thing, the pressure to get on board is real.

But the Reflection 70B debacle thats unfolding right now shows us why it’s important for leaders to pump the brakes, check the facts, and avoid falling for flashy trends without doing their homework first.

The Reflection 70B Hype: A Wake-Up Call

Reflection 70B was introduced on September 5 2024 with a wave of bold claims, including its supposed fine-tuning of LLaMA 3.1 and the introduction of a "reflection tuning" technique. According to the model's creators, this technique would enable the AI to self-correct mistakes, positioning it as a revolutionary advancement that could outperform leading closed-source models. These claims were highlighted in promotional posts, such as this announcement by Matt Shumer. (Matt Shumer is the co-founder and CEO of AI writing startup HyperWrite). This is a new large language model (LLM) based on Meta's open-source Llama 3.1-70B Instruct that leverages a new error self-correction technique.

Matt Shumer's announcement of Reflection 70B is going viral and has already reached 3.2 million views and advertisment for the service GlaiveAI

The model uses a new technique called "reflection tuning," designed to enhance its ability to correct its own errors in real-time. The release has garnered significant attention due to its performance metrics, although some skepticism remains in the community regarding its rapid rise.

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However, these announcements quickly became the subject of scrutiny and skepticism. Assumptions began circulating that Reflection 70B might not be what it seemed. In discussions across platforms, including claims made by Josephus, further suspicions were raised that Reflection 70B was based on Sonnet 3.5 rather than LLaMA 3.1. More details were unearthed in a Reddit thread, and there were additional allegations that the model's endpoint was quietly switched to GPT-4 to mask its shortcomings, as mentioned here.

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The pressure is now on HyperWrite and Matt Shumer to debunk the allegations and prove that their innovation can outperform the big players in the game. Based on the results of their 70B model, they announced funding and the start of training for their 405B model based on the Meta model.

While these claims and assumptions are unverified, they highlight the risks of accepting AI developments at face value. The Reflection 70B situation serves as a cautionary tale for leaders to remain skeptical, verify all claims, and ensure due diligence before investing in new technologies.

What Leaders Can Learn

Check the Facts Before Diving In

New AI developments can sound exciting—promises of better performance, higher accuracy, and cost savings can be hard to ignore. But the Reflection 70B incident shows why it’s crucial to dig deeper. The AI community quickly exposed the misleading claims, saving people from pouring time and money into a flawed product.

What can decision makers do?

  • Bring in experts (internal or external) who can properly evaluate the claims before making big investments.
  • Ask for data and proof. If something claims to be groundbreaking, make sure independent sources can reproduce those results.

Don’t Fall for the “Buzzword Effect”

It’s easy to get wowed by fancy-sounding terms. Reflection 70B was riding the coattails of well-known names like LLaMA and introduced "reflection tuning" as something novel and powerful. But it turned out to be all talk. As a leader, it's important to see past the hype and make sure there’s real innovation behind the buzz.

Watch for Red Flags

Looking back, there were some clear warning signs with Reflection 70B:

  • Inconsistent results: The model's performance varied widely, depending on how it was accessed. That’s a big red flag.
  • Lack of transparency: When asked to explain the issues, the creator gave unclear answers, blaming a "scramble in weights." If someone can't provide straightforward responses, be cautious.
  • Conflicts of interest: The person behind Reflection 70B had ties to another company, Glaive AI, which wasn’t disclosed upfront on the annoucement or on the twitter bio. Always be aware of potential hidden agendas. Looking at the publicity generated by the post and the statements made, this is a huge "free" case of promoting the Glaive AI service.
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Anomalies in Reflection 70B's Popularity

Community users have also pointed out some unusual trends in Reflection 70B's rapid rise on Hugging Face, where it gained 1.16k stars in just one day, making it the top model on the platform. There was a lot of excitement around the release. However, many found the spike to be unexpected for such a short period of time. According to users on Reddit, the surge has raised questions about whether automated methods might have been used to inflate the model’s popularity on both Reddit and Hugging Face.

To provide context, other notable models, such as command-r (120 stars), Phi-3.5-vision-instruct (428 stars), and even the popular llama-3.1 8B instruct (2.28k stars over 2-3 months), have seen more gradual growth. The community continues to speculate on whether Reflection 70B's sudden rise might be a product of the initial buzz or something more unusual.

The Dangers of Chasing AI Hype

Reflection 70B is just one example of a bigger issue in AI: there’s a lot of hype, and not all of it is based on reality. Businesses need to be careful, or they could end up wasting resources or damaging their reputation by backing unproven or unreliable tech.

  • Financial loss: Investing in overhyped tech can drain your budget.
  • Reputation risk: Being associated with a failed or discredited product can hurt your brand.
  • Inefficiency: Implementing a model that doesn’t perform as promised could lead to wasted time and effort.

Why You Need a Strategic AI Partner

As the Reflection 70B example shows, the journey through AI implementation can be full of unexpected challenges. Whether it's navigating misleading claims or ensuring smooth deployment, having the right expertise can make all the difference.

At nAIxt Technologies GmbH, we offer comprehensive support to help decision-makers succeed at every stage of their AI journey. From crafting tailored AI strategies to leading full-scale projects and educating executives, we provide the hands-on guidance needed to turn AI from a promising idea into a true business driver.

What We Provide

  • AI Strategy Consulting: We work with you to develop a strategic AI roadmap aligned with your goals.
  • AI Project Leadership: End-to-end project management, innovative AI design, and seamless integration.
  • AI Management Consulting: Ongoing guidance to maximize your AI ROI and stay ahead of industry trends.
  • Executive AI Education: Tailored programs for C-level executives to ensure informed AI-related decisions.

Take the Next Step

You now have an understanding of the potential risks and strategies in AI adoption. But achieving real, measurable success requires more than just knowledge—it requires the right partner. Whether you're looking to create a strategic AI roadmap, lead a project from concept to completion, or enhance your team’s AI expertise, we’re here to help.

Visit nAIxt Technologies and let’s turn AI into a powerful driver of success for your organization.

Jonas Szalanczi
Author
nAIxt Technologies GmbH
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