Altman likely refers to OpenAI’s o1 model and iterative reasoning.
When Altman says we know how to build AGI, he is probably referring to OpenAI’s o1, a model designed for reasoning through an iterative, self-calling process. The AI has two dedicated steps: Iteration and Reflection, where the model generates an output, evaluates it, and refines it, and a Feedback Loop, where the model revisits outputs, critiques them, and improves them further. This represents a paradigm shift. While OpenAI had previously focused on bigger models, they are now focused on thinking longer by doing this type of inference loop.
— Sam Altman Says, ‘We Know How To Build AGI’ — Not So Fast · Forbes