The 5 things you need to ‘really create magic’ with AI: the LLM, the context, the prompt, the workflow, and the evaluation
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The 5 things you need to ‘really create magic’ with AI: the LLM, the context, the prompt, the workflow, and the evaluation

August 8, 2025
09:52 AM
6 min read
AI Enhanced
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August 8, 2025

09:52 AM

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s·CEO DailyThe 5 things you need to ‘really create magic’ with AI: the LLM, the context, the mpt, the workflow, and the evaluationBy Diane BradyBy Diane BradyExecutive Editorial Director, Fortune Media and author of CEO DailyDiane BradyExecutive Editorial Director, Fortune Media and author of CEO DailyDiane Brady is an award-winning journalist and author who has interviewed newsmakers worldwide and often speaks the global landscape

As executive editorial director of the Fortune CEO Initiative, she brings together a growing community of global leaders through conversations, content, and connections

She is also executive editorial director of Fortune Media and interviews newsmakers for the magazine and the CEO Daily .SEE FULL BIO Geoffrey NuddPhoto: Anonymous HealthIn today’s CEO Daily: Diane Brady talks to serial entrepreneur Geoff Nudd AI and addiction

The big story: Trump demands Intel CEO’s resignation

The : U.S. futures are up but global are less enthusiastic

Plus: All the news and watercooler chat from Fortune

OpenAI’s GPT-5 is and free! You can read all Sam Altman’s LLM model and what this does to its competition with Google and Meta here

How will it impact all the entrepreneurs and leaders who are building models around these ever-changing nologies? The answer may be, “not much.” I spoke with serial entrepreneur Geoff Nudd yesterday, whose startup Anonymous Health deploys AI to help people overcome addiction and unwanted habits

Launched in June, it now serves more than 10,000 users

While Nudd is pleased to have access to more intelligence, he ns the to the “heyday of semiconductors where you always want to be planning for what’s going to be out there in 18 months.” Nudd argues there are five main components to dering value: the LLM, the context, the mpt, the workflow and the evaluation. “It’s those five things working together in concert that really create magic,” he says. “The frontier models are effectively commoditized

How you create value goes back to those other four components.” “Folks us will go to whatever is cheapest at some point, because they’re all basically the same,” he added. “If I have the system of record for the industry, plus touch points into other systems, then I have the broadest possible context.” His advice: Seek breadth in your systems, go deep in understanding your customer and deploy new capabilities with purpose

Nudd’s model, for example, uses AI to engage users at times of high risk for addictive behavior

It’s a tool to help humans better s in an age of AI.Top newsTrump demands Intel CEO’s resignationIn a Thursday post on Truth Social, President Donald Trump described Intel CEO Lip-Bu Tan as “highly conflicted” and demanded that he resign

Earlier in the week, Sen

Tom Cotton asked that Tan be removed for his alleged personal investments in Chinese companies.Tan denounces “misinformation”“There has been a lot of misinformation circulating my past roles . .

I want to be absolutely : Over 40+ years in the industry, I’ve built relationships around the world and across our diverse ecosystem — and I have always operated within the highest legal and ethical standards,” Tan said.Context: Intel’s board and CEO disagree on strategyBoard chairman Frank Yeary believes the company should exit the chip manufacturing entirely; Tan believes it is central to the and doesn’t want Intel to become dependent on foreign suppliers, the WSJ reports.Bitcoin jumps on new 401(k) rulesPresident Trump is set to sign an executive order allowing holders of 401(k) retirement savings plans to invest in crypto

Bitcoin rose on the news

The FT reports that 154 public companies have bought or plan to buy crypto for their balance sheets, committing a total of $98.4 billion

In the previous year companies had only $33.6 billion to crypto

Companies are tempted to acquire Bitcoin because stock investors having exposure to crypto without actually buying it directly, and the added demand from companies has boosted the price of Bitcoin.President Trump appointed Stephen Miran to the FedMiran will serve temporarily on the Federal Reserve’s Board of Governors, filling a vacancy until January when a permanent appointment can be made

Miran was the head of the White House Council of Economic Advisers

He is best-known as the author of the so-called “Mar-a-Lago Accord” document, titled “A User’s Guide to Restructuring the Global Trading System,” which argued in favor of raising tariffs on imports to rebalance global trade

He is also an inflation hawk

Switzerland reels from 39% tariff blowSwiss es are struggling to figure out how they will survive now that their U.S. export market is subject to a 39% tariff, one of the highest on Trump’s list

Switzerland’s main exports are pharmaceuticals, watches, industrial machinery, chocolate and cheese. “The worst-case scenario has become a reality,” said the Swiss lobby group for engineering and industries. “If this exorbitant customs burden is maintained, the Swiss industry’s export to the U.S.A. will be effectively annihilated.” To add insult to injury, the CPB added another category of goods into the 39% bracket: gold bars—another Swiss export staple

Context: The Swiss don’t understand why Trump regards the country with such hostility.Apple gifts Trump “Made in USA” plaqueApple CEO Tim Cook presented President Trump with a 24-karat gold “Made in USA” plaque during a meeting celebrating the company’s plan to invest a further $100 billion in U.S. manufacturing

That increases Apple’s commitment to domestic duction to $600 million.Other news: The Israeli cabinet apved a plan to fully occupy Gaza City … Armenia and Azerbaijan have agreed to a U.S.-brokered peace deal … The U.S

DOJ announced a $50 million reward for the capture of Venezuelan dictator Nicolas Maduro, whom the administration believes supports various organized crime operations, drug dealers, gangs and gun-runners.The S&P 500 futures were up 0.26% this morning, premarket, after the index closed flat yesterday

STOXX Europe 600 was up 0.15% in early trading

The U.K.’s FTSE 100 was down 0.11% in early trading

Japan’s Nikkei 225 was up 1.85%

China’s CSI 300 was down 0.24%

The South Korea KOSPI was down 0.55%

India’s Nifty 50 was down 0.77%

Bitcoin rose to $116.5K.Around the watercoolerAI-driven layoffs are shrinking the job market for recent grads by Beatrice NolanHere’s everything in GPT-5 that’s new and different than OpenAI’s previous AI models, by Alexandra SternlichtCan Allbirds get its groove back? Once the go-to shoe of elites, the eco-friendly brand is going back to its roots, by Phil Wahba Toyota sounds its loudest warning bell yet tariffs with an expected $9.5 billion fit hit, by Chris MorrisStunning new data reveals 140% layoff spike in July, with almost half connected to AI and ‘nological ’ by Nick LichtenbergCEO Daily is compiled and edited by Joey Abrams and Jim Edwards

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