Social media in the financial services sector refers to the use of social media by the financial services sector to promote and distribute financial services. Social media is used in various aspects of the financial industry including customer service, marketing, and product development. It has enabled financial institutions to extend their reach through direct and real-time communication with customers, fostering more personal connections. It also allows individuals to talk to other individuals creating lending and trading via social groups as well as developing new financial services by fintech startup companies. In terms of marketing, social media is utilized by both traditional financial companies as well as disruptive fintech companies such as peer-to-peer lending (P2P) companies. The financial industry has used information technology since its inception in the 1960s and social media fits in with this ongoing development. Larger, traditional financial firms have integrated social media into their marketing strategies. Companies in the financial sector are subject to strict regulations that include how they use social media. In the United States, the Financial Industry Regulatory Authority (FINRA) is a key regulator that sets rules how financial firms can interact with consumers. This includes ensuring that social media posts follow financial advertising rules, such as being fair and balanced and not providing misleading information, and that financial advice is not provided by unqualified personnel, such as influencers. == History == In 2003, at the beginning of social media development, MySpace was founded as a "social networking service." It allowed people to create a profile, connect with other people, and post videos, pictures, and songs. As MySpace grew in popularity, it attracted interest from companies wishing to promote their brands on the social platform. They were joined by Facebook and in 2010 by Instagram. Financial service firms were initially slow to adapt to promotion via social media but soon joined other big firms after they saw the success other industries had in engaging with younger people. == Uses == === Branding === While companies are able to connect with more people remotely through providing online financial services, their branding strategy has shifted from customized to standardized. Prior to the outbreak of technology, most banks used customized branding where they targeted only customers in their regions. Businesses can now use technology to operate beyond their geographic location and maintain a consistent image across multiple countries with standardized branding. By being able to extend a consistent brand reputation across a wider geographic location, financial services companies can take advantage of economies of scale in advertising cost, lower administrative complexity, lower entry into new markets, and improved cross-border learning within the company. === Customer engagement === Online banking reduced face-to-face interaction between customers and their banks. Most banking transactions can now be conducted online or through mobile devices, rather than at a local branch with a teller. Social media provides a channel for firms to maintain personal contact with customers, replicating some of the interaction that was previously available at local branches. For example, a bank's Facebook page may feature an employee profile describing their job duties, which serves to present a more human face for larger institutions. === Lending === Social media is a core marketing channel for online peer-to-peer lending as well as small business lenders. Since these companies operate exclusively online, it makes sense for them to market online through social media channels. They are able to grow and find new lenders and buyers by utilizing social networks. === Trading === Social trading is an alternative way of analyzing financial data by looking at what other traders are doing and comparing, copying and discussing their techniques and strategies. Prior to the advent of social trading, investors and traders were relying on fundamental or technical analysis to form their investment decisions. Using social trading investors and traders could integrate into their investment decision-process social indicators from trading data-feeds of other traders. Investors also use platform like Reddit, Signal messaging or WeChat to create social communities to discuss investments and finance. In some cases they use this to join together using meme stocks to move financial markets, such as the 2021 GameStop short squeeze incident. They can also use social groups to launch and promote new products such as cryptocurrencies. Investing application like WeBull incorporate a forum style messaging system on each stock that is available for trading. Financial brokers such as Fidelity Investments, Interactive Brokers, and E-Trade have moved to incorporate community features in their investment apps. == Regulations == The use of social media by investors and financial services professionals for business purposes is subject to regulatory oversight, in the United States this is done primarily by the Financial Industry Regulatory Authority (FINRA). FINRA's rules, designed to protect investors from misleading information in all communications and this also applies to social media communications. This includes ensuring that social media posts follow financial advertising rules, such as being fair and balanced and not providing misleading information, and that advice is not provided by unqualified personnel, such as influencers and bank staff acting in a personal capacity. Financial firms have to maintain books and records of all interaction with customers and this includes social media. == New products and services == Social media has created entirely new products for the financial services sector, revolutionizing products and developing new industries through the merging of social technology and financial services. Fintech startups use social media to promote products to get them established. Several developing nations have used social media to leapfrog traditional financial technology; for example, WeChat Pay, which developed from the Chinese WeChat social media platform, became a major payment system in China within a few years. In 2015, according to consulting firm Accenture, 390 million people in China had registered to use mobile banking. This figure is more than the population of the United States. In the United States, the fintech company Venmo combines technology and financial services on a social platform. Other financial technology companies that have used social media to develop or promote financial products include: Lending Club – One of the first peer-to-peer lending businesses OnDeck Capital – A US online-only lending business Funding Circle – A UK-based online lending company Wise – A global online money transfers company Kabbage – A US online unsecured loan company later acquired by American Express Avant – A US online unsecured loan company Zopa – A UK online neobank providing peer-to-peer lending == Risks == === Reputational damage === Due to the real-time nature of social media, financial services companies can be impacted by potential reputational issues. Any negative experience by customers can easily be shared online and could become a viral phenomenon, those comments could likely have a detrimental effect on the company’s stock price and reputation. On the other hand, any positive experience a customer has can also be shared online. However, positive experiences are much less likely to become viral. === Scams === The nature of social media makes it easy to target individuals without being seen by the wider community, this allows scammers to target individuals. Example include romance scams such as the pig butchering scam where an individual is tricked to transfer funds or assets to the scammer over social media making it hard for law enforcement to track them or recover funds. === Customer privacy === Customer privacy is important for the financial services industry. It is critical that customer information such as a bank account numbers and other personal information is kept private. However, this information can be leaked if for example, a customer is unhappy with a bank’s service, they may tweet at the bank expressing their frustrations and include their name and account number.
Control engineering
Control engineering, also known as control systems engineering and, in some European countries, automation engineering, is an engineering discipline that deals with control systems, applying control theory to design equipment and systems with desired behaviors in control environments. The discipline of controls overlaps and is usually taught along with electrical engineering, chemical engineering and mechanical engineering at many institutions around the world. The practice uses sensors and detectors to measure the output performance of the process being controlled; these measurements are used to provide corrective feedback helping to achieve the desired performance. Systems designed to perform without requiring human input are called automatic control systems (such as cruise control for regulating the speed of a car). Multi-disciplinary in nature, control systems engineering activities focus on implementation of control systems mainly derived by mathematical modeling of a diverse range of systems. == Overview == Modern day control engineering is a relatively new field of study that gained significant attention during the 20th century with the advancement of technology. It can be broadly defined or classified as practical application of control theory. Control engineering plays an essential role in a wide range of control systems, from simple household washing machines to high-performance fighter aircraft. It seeks to understand physical systems, using mathematical modelling, in terms of inputs, outputs and various components with different behaviors; to use control system design tools to develop controllers for those systems; and to implement controllers in physical systems employing available technology. A system can be mechanical, electrical, fluid, chemical, financial or biological, and its mathematical modelling, analysis and controller design uses control theory in one or many of the time, frequency and complex-s domains, depending on the nature of the design problem. Control engineering is the engineering discipline that focuses on the modeling of a diverse range of dynamic systems (e.g. mechanical systems) and the design of controllers that will cause these systems to behave in the desired manner. Although such controllers need not be electrical, many are and hence control engineering is often viewed as a subfield of electrical engineering. Electrical circuits, digital signal processors and microcontrollers can all be used to implement control systems. Control engineering has a wide range of applications from the flight and propulsion systems of commercial airliners to the cruise control present in many modern automobiles. In most cases, control engineers utilize feedback when designing control systems. This is often accomplished using a proportional–integral–derivative controller (PID controller) system. For example, in an automobile with cruise control the vehicle's speed is continuously monitored and fed back to the system, which adjusts the motor's torque accordingly. Where there is regular feedback, control theory can be used to determine how the system responds to such feedback. In practically all such systems stability is important and control theory can help ensure stability is achieved. Although feedback is an important aspect of control engineering, control engineers may also work on the control of systems without feedback. This is known as open loop control. A classic example of open loop control is a washing machine that runs through a pre-determined cycle without the use of sensors. == History == Automatic control systems were first developed over two thousand years ago. The first feedback control device on record is thought to be the ancient Ktesibios's water clock in Alexandria, Egypt, around the third century BCE. It kept time by regulating the water level in a vessel and, therefore, the water flow from that vessel. This certainly was a successful device as water clocks of similar design were still being made in Baghdad when the Mongols captured the city in 1258 CE. A variety of automatic devices have been used over the centuries to accomplish useful tasks or simply just to entertain. The latter includes the automata, popular in Europe in the 17th and 18th centuries, featuring dancing figures that would repeat the same task over and over again; these automata are examples of open-loop control. Milestones among feedback, or "closed-loop" automatic control devices, include the temperature regulator of a furnace attributed to Drebbel, circa 1620, and the centrifugal flyball governor used for regulating the speed of steam engines by James Watt in 1788. In his 1868 paper "On Governors", James Clerk Maxwell was able to explain instabilities exhibited by the flyball governor using differential equations to describe the control system. This demonstrated the importance and usefulness of mathematical models and methods in understanding complex phenomena, and it signaled the beginning of mathematical control and systems theory. Elements of control theory had appeared earlier but not as dramatically and convincingly as in Maxwell's analysis. Control theory made significant strides over the next century. New mathematical techniques, as well as advances in electronic and computer technologies, made it possible to control significantly more complex dynamical systems than the original flyball governor could stabilize. New mathematical techniques included developments in optimal control in the 1950s and 1960s followed by progress in stochastic, robust, adaptive, nonlinear control methods in the 1970s and 1980s. Applications of control methodology have helped to make possible space travel and communication satellites, safer and more efficient aircraft, cleaner automobile engines, and cleaner and more efficient chemical processes. Before it emerged as a unique discipline, control engineering was practiced as a part of mechanical engineering and control theory was studied as a part of electrical engineering since electrical circuits can often be easily described using control theory techniques. In the first control relationships, a current output was represented by a voltage control input. However, not having adequate technology to implement electrical control systems, designers were left with the option of less efficient and slow responding mechanical systems. A very effective mechanical controller that is still widely used in some hydro plants is the governor. Later on, previous to modern power electronics, process control systems for industrial applications were devised by mechanical engineers using pneumatic and hydraulic control devices, many of which are still in use today. === Mathematical modelling === David Quinn Mayne, (1930–2024) was among the early developers of a rigorous mathematical method for analysing Model predictive control algorithms (MPC). It is currently used in tens of thousands of applications and is a core part of the advanced control technology by hundreds of process control producers. MPC's major strength is its capacity to deal with nonlinearities and hard constraints in a simple and intuitive fashion. His work underpins a class of algorithms that are probably correct, heuristically explainable, and yield control system designs which meet practically important objectives. == Control systems == == Control theory == == Education == At many universities around the world, control engineering courses are taught primarily in electrical engineering and mechanical engineering, but some courses can be instructed in mechatronics engineering, and aerospace engineering. In others, control engineering is connected to computer science, as most control techniques today are implemented through computers, often as embedded systems (as in the automotive field). The field of control within chemical engineering is often known as process control. It deals primarily with the control of variables in a chemical process in a plant. It is taught as part of the undergraduate curriculum of any chemical engineering program and employs many of the same principles in control engineering. Other engineering disciplines also overlap with control engineering as it can be applied to any system for which a suitable model can be derived. However, specialised control engineering departments do exist, for example, in Italy there are several master in Automation & Robotics that are fully specialised in Control engineering or the Department of Automatic Control and Systems Engineering at the University of Sheffield or the Department of Robotics and Control Engineering at the United States Naval Academy and the Department of Control and Automation Engineering at the Istanbul Technical University. Control engineering has diversified applications that include science, finance management, and even human behavior. Students of control engineering may start with a linear control system course dealing with the time and complex-s domain, which req
Time series
In mathematics, a time series is a sequence of data points indexed, listed, or graphed in chronological order. Most commonly, a time series consists of observations recorded at successive equally spaced points in time. Thus, it represents a form of discrete-time data. A time series may describe measurements collected over seconds, days, years, or even centuries. Common examples include heights of ocean tides, counts of sunspots, daily temperature readings, and the closing values of stock market indices such as the Dow Jones Industrial Average. A time series is often visualized using a run chart (a type of temporal line chart), which helps identify patterns such as trends, seasonal effects, and irregular fluctuations. Time series are widely used in statistics, actuarial science, signal processing, pattern recognition, econometrics, mathematical finance, weather forecasting, earthquake prediction, electroencephalography, control engineering, astronomy, communications engineering, and many other areas of applied science and engineering that involve temporal measurements. Time series analysis comprises methods for analyzing time series data in order to extract meaningful statistics and other characteristics of the data. Time series forecasting is the use of a model to predict future values based on previously observed values. Generally, time series data is modeled as a stochastic process. While regression analysis is often employed in such a way as to test relationships between one or more different time series, this type of analysis is not usually called "time series analysis", which refers in particular to relationships between different points in time within a single series. Time series data have a natural temporal ordering. This makes time series analysis distinct from cross-sectional studies, in which there is no natural ordering of the observations (e.g. explaining people's wages by reference to their respective education levels, where the individuals' data could be entered in any order). Time series analysis is also distinct from spatial data analysis where the observations typically relate to geographical locations (e.g. accounting for house prices by the location as well as the intrinsic characteristics of the houses). A stochastic model for a time series will generally reflect the fact that observations close together in time will be more closely related than observations further apart. In addition, time series models will often make use of the natural one-way ordering of time so that values for a given period will be expressed as deriving in some way from past values, rather than from future values (see time reversibility). Time series analysis can be applied to real-valued, continuous data, discrete numeric data, or discrete symbolic data (i.e. sequences of characters, such as letters and words in the English language). == Methods for analysis == Methods for time series analysis may be divided into two classes: frequency-domain methods and time-domain methods. The former include spectral analysis and wavelet analysis; the latter include auto-correlation and cross-correlation analysis. In the time domain, correlation and analysis can be made in a filter-like manner using scaled correlation, thereby mitigating the need to operate in the frequency domain. Additionally, time series analysis techniques may be divided into parametric and non-parametric methods. The parametric approaches assume that the underlying stationary stochastic process has a certain structure which can be described using a small number of parameters (for example, using an autoregressive or moving-average model). In these approaches, the task is to estimate the parameters of the model that describes the stochastic process. By contrast, non-parametric approaches explicitly estimate the covariance or the spectrum of the process without assuming that the process has any particular structure. Methods of time series analysis may also be divided into linear and non-linear, and univariate and multivariate. == Panel data == A time series is one type of panel data. Panel data is the general class, a multidimensional data set, whereas a time series data set is a one-dimensional panel (as is a cross-sectional dataset). A data set may exhibit characteristics of both panel data and time series data. One way to tell is to ask what makes one data record unique from the other records. If the answer is the time data field, then this is a time series data set candidate. If determining a unique record requires a time data field and an additional identifier which is unrelated to time (e.g. student ID, stock symbol, country code), then it is panel data candidate. If the differentiation lies on the non-time identifier, then the data set is a cross-sectional data set candidate. == Analysis == There are several types of motivation and data analysis available for time series which are appropriate for different purposes. === Motivation === In the context of statistics, econometrics, quantitative finance, seismology, meteorology, and geophysics the primary goal of time series analysis is forecasting. In the context of signal processing, control engineering and communication engineering it is used for signal detection. Other applications are in data mining, pattern recognition and machine learning, where time series analysis can be used for clustering, classification, query by content, anomaly detection as well as forecasting. === Exploratory analysis === A simple way to examine a regular time series is manually with a line chart. The datagraphic shows tuberculosis deaths in the United States, along with the yearly change and the percentage change from year to year. The total number of deaths declined in every year until the mid-1980s, after which there were occasional increases, often proportionately - but not absolutely - quite large. A study of corporate data analysts found two challenges to exploratory time series analysis: discovering the shape of interesting patterns, and finding an explanation for these patterns. Visual tools that represent time series data as heat map matrices can help overcome these challenges. === Estimation, filtering, and smoothing === This approach may be based on harmonic analysis and filtering of signals in the frequency domain using the Fourier transform, and spectral density estimation. Its development was significantly accelerated during World War II by mathematician Norbert Wiener, electrical engineers Rudolf E. Kálmán, Dennis Gabor and others for filtering signals from noise and predicting signal values at a certain point in time. An equivalent effect may be achieved in the time domain, as in a Kalman filter; see filtering and smoothing for more techniques. Other related techniques include: Autocorrelation analysis to examine serial dependence Spectral analysis to examine cyclic behavior which need not be related to seasonality. For example, sunspot activity varies over 11 year cycles. Other common examples include celestial phenomena, weather patterns, neural activity, commodity prices, and economic activity. Separation into components representing trend, seasonality, slow and fast variation, and cyclical irregularity: see trend estimation and decomposition of time series === Curve fitting === Curve fitting is the process of constructing a curve, or mathematical function, that has the best fit to a series of data points, possibly subject to constraints. Curve fitting can involve either interpolation, where an exact fit to the data is required, or smoothing, in which a "smooth" function is constructed that approximately fits the data. A related topic is regression analysis, which focuses more on questions of statistical inference such as how much uncertainty is present in a curve that is fit to data observed with random errors. Fitted curves can be used as an aid for data visualization, to infer values of a function where no data are available, and to summarize the relationships among two or more variables. Extrapolation refers to the use of a fitted curve beyond the range of the observed data, and is subject to a degree of uncertainty since it may reflect the method used to construct the curve as much as it reflects the observed data. For processes that are expected to generally grow in magnitude one of the curves in the graphic (and many others) can be fitted by estimating their parameters. The construction of economic time series involves the estimation of some components for some dates by interpolation between values ("benchmarks") for earlier and later dates. Interpolation is estimation of an unknown quantity between two known quantities (historical data), or drawing conclusions about missing information from the available information ("reading between the lines"). Interpolation is useful where the data surrounding the missing data is available and its trend, seasonality, and longer-term cycles are known. This is often done by using a relat
Artificial intelligence in spirituality
Some users of artificial intelligence (AI) technologies, especially chatbots, may develop beliefs that AI has or can attain supernatural or spiritual powers. AI models such as ChatGPT are turned to for fortune telling, mysticism and remote viewing. Recent and sudden advances in large language models have led to folk myths about their origin or capabilities, as well as their deification or worship by some users. Tucker Carlson has made similar claims, including directly to Sam Altman. Pope Leo XIV advised priests against using LLM models when it came to the creation of sermons.
Admissible heuristic
In computer science, specifically in algorithms related to pathfinding, a heuristic function is said to be admissible if it never overestimates the cost of reaching the goal, i.e. the cost it estimates to reach the goal is not higher than the lowest possible cost from the current point in the path. In other words, it should act as a lower bound. It is related to the concept of consistent heuristics. While all consistent heuristics are admissible, not all admissible heuristics are consistent. == Search algorithms == An admissible heuristic is used to estimate the cost of reaching the goal state in an informed search algorithm. In order for a heuristic to be admissible to the search problem, the estimated cost must always be lower than or equal to the actual cost of reaching the goal state. The search algorithm uses the admissible heuristic to find an estimated optimal path to the goal state from the current node. For example, in A search the evaluation function (where n {\displaystyle n} is the current node) is: f ( n ) = g ( n ) + h ( n ) {\displaystyle f(n)=g(n)+h(n)} where f ( n ) {\displaystyle f(n)} = the evaluation function. g ( n ) {\displaystyle g(n)} = the cost from the start node to the current node h ( n ) {\displaystyle h(n)} = estimated cost from current node to goal. h ( n ) {\displaystyle h(n)} is calculated using the heuristic function. With a non-admissible heuristic, the A algorithm could overlook the optimal solution to a search problem due to an overestimation in f ( n ) {\displaystyle f(n)} . == Formulation == n {\displaystyle n} is a node h {\displaystyle h} is a heuristic h ( n ) {\displaystyle h(n)} is cost indicated by h {\displaystyle h} to reach a goal from n {\displaystyle n} h ∗ ( n ) {\displaystyle h^{}(n)} is the optimal cost to reach a goal from n {\displaystyle n} h ( n ) {\displaystyle h(n)} is admissible if, ∀ n {\displaystyle \forall n} h ( n ) ≤ h ∗ ( n ) {\displaystyle h(n)\leq h^{}(n)} == Construction == An admissible heuristic can be derived from a relaxed version of the problem, or by information from pattern databases that store exact solutions to subproblems of the problem, or by using inductive learning methods. == Examples == Two different examples of admissible heuristics apply to the fifteen puzzle problem: Hamming distance Manhattan distance The Hamming distance is the total number of misplaced tiles. It is clear that this heuristic is admissible since the total number of moves to order the tiles correctly is at least the number of misplaced tiles (each tile not in place must be moved at least once). The cost (number of moves) to the goal (an ordered puzzle) is at least the Hamming distance of the puzzle. The Manhattan distance of a puzzle is defined as: h ( n ) = ∑ all tiles d i s t a n c e ( tile, correct position ) {\displaystyle h(n)=\sum _{\text{all tiles}}{\mathit {distance}}({\text{tile, correct position}})} Consider the puzzle below in which the player wishes to move each tile such that the numbers are ordered. The Manhattan distance is an admissible heuristic in this case because every tile will have to be moved at least the number of spots in between itself and its correct position. The subscripts show the Manhattan distance for each tile. The total Manhattan distance for the shown puzzle is: h ( n ) = 3 + 1 + 0 + 1 + 2 + 3 + 3 + 4 + 3 + 2 + 4 + 4 + 4 + 1 + 1 = 36 {\displaystyle h(n)=3+1+0+1+2+3+3+4+3+2+4+4+4+1+1=36} == Optimality proof == If an admissible heuristic is used in an algorithm that, per iteration, progresses only the path of lowest evaluation (current cost + heuristic) of several candidate paths, terminates the moment its exploration reaches the goal and, crucially, closes all optimal paths before terminating (something that's possible with A search algorithm if special care isn't taken), then this algorithm can only terminate on an optimal path. To see why, consider the following proof by contradiction: Assume such an algorithm managed to terminate on a path T with a true cost Ttrue greater than the optimal path S with true cost Strue. This means that before terminating, the evaluated cost of T was less than or equal to the evaluated cost of S (or else S would have been picked). Denote these evaluated costs Teval and Seval respectively. The above can be summarized as follows, Strue < Ttrue Teval ≤ Seval If our heuristic is admissible it follows that at this penultimate step Teval = Ttrue because any increase on the true cost by the heuristic on T would be inadmissible and the heuristic cannot be negative. On the other hand, an admissible heuristic would require that Seval ≤ Strue which combined with the above inequalities gives us Teval < Ttrue and more specifically Teval ≠ Ttrue. As Teval and Ttrue cannot be both equal and unequal our assumption must have been false and so it must be impossible to terminate on a more costly than optimal path. As an example, let us say we have costs as follows:(the cost above/below a node is the heuristic, the cost at an edge is the actual cost) 0 10 0 100 0 START ---- O ----- GOAL | | 0| |100 | | O ------- O ------ O 100 1 100 1 100 So clearly we would start off visiting the top middle node, since the expected total cost, i.e. f ( n ) {\displaystyle f(n)} , is 10 + 0 = 10 {\displaystyle 10+0=10} . Then the goal would be a candidate, with f ( n ) {\displaystyle f(n)} equal to 10 + 100 + 0 = 110 {\displaystyle 10+100+0=110} . Then we would clearly pick the bottom nodes one after the other, followed by the updated goal, since they all have f ( n ) {\displaystyle f(n)} lower than the f ( n ) {\displaystyle f(n)} of the current goal, i.e. their f ( n ) {\displaystyle f(n)} is 100 , 101 , 102 , 102 {\displaystyle 100,101,102,102} . So even though the goal was a candidate, we could not pick it because there were still better paths out there. This way, an admissible heuristic can ensure optimality. However, note that although an admissible heuristic can guarantee final optimality, it is not necessarily efficient.
Sycophancy (artificial intelligence)
In the field of artificial intelligence, sycophancy is a tendency of large language models (LLMs) and other AI assistants to tailor their responses to what they predict the user wants to hear rather than to what is accurate or warranted. The behavior takes several forms: an assistant may agree with a user's stated opinion even when the user is mistaken; it may abandon a correct answer after a challenge such as "are you sure?"; it may validate beliefs, decisions or self-presentation regardless of merit; or it may praise the user, their work or their ideas in unwarranted terms. The word is borrowed from the ordinary English term for fawning flattery, and is used in AI alignment and AI safety research to describe a class of misalignment failures associated with training on human feedback. Researchers at Anthropic first documented the behavior systematically in 2022. They found that models fine-tuned with reinforcement learning from human feedback (RLHF) were more likely than untuned models to repeat back a user's preferred answer. A 2023 follow-up paper, "Towards Understanding Sycophancy in Language Models", showed that five frontier assistants from OpenAI, Anthropic and Meta all exhibited the behavior, and traced its origin to biases in the human preference data used during training. Later work documented sycophancy in mathematics, medicine, academic peer review and other domains, and identified a broader category called "social sycophancy" affecting an assistant's emotional and interpersonal responses. The issue drew widespread public attention in April 2025 after OpenAI rolled back an update to its GPT-4o model. Users had reported that the assistant praised dangerous decisions, endorsed delusional thinking and offered exaggerated compliments for trivial prompts. OpenAI's post-mortem attributed the change in behavior to an additional training signal based on user thumbs-up and thumbs-down feedback. That episode, together with reporting in The New York Times, Rolling Stone and elsewhere on users drawn into delusional thinking through prolonged chatbot interaction, has been cited in litigation and in academic studies as evidence that sycophancy poses risks to user well-being. Proposed mitigations include fine-tuning on synthetic data that rewards disagreement with incorrect user statements, editing the small subset of model parameters causally responsible for the behavior, changes to the dialogue or system prompt, and benchmarks designed to surface sycophantic behavior before models are released. == Causes == The dominant explanation points to RLHF, the standard technique for aligning chat assistants with user expectations. Human annotators rank candidate model responses; a reward model is trained to predict those rankings; and the language model is then optimized against the reward model. Because human raters tend to prefer outputs that confirm their existing beliefs or flatter their work, the pipeline systematically rewards responses that agree with the annotator. Perez and colleagues at Anthropic published the first large-scale empirical evidence of the effect in 2022. They reported that RLHF training increased the probability that a model would repeat back a dialog user's preferred answer, and that larger models exhibited the behavior more strongly. Sharma and colleagues, the following year, went further and examined Anthropic's own preference data directly. Both the human raters and the reward models trained on their judgments preferred convincingly written sycophantic responses to truthful ones at a non-negligible rate. Wei and co-authors at Google DeepMind found similar results in the PaLM family, observing that both model scale and instruction tuning increased sycophancy on opinion questions. The behavior is often classified as a form of reward hacking, in which an optimization process exploits a flaw in its reward signal rather than achieving the intended objective. OpenAI's post-mortem of the April 2025 GPT-4o incident identified a more specific mechanism. An additional reward signal based on aggregated thumbs-up and thumbs-down feedback from ChatGPT users had, in OpenAI's words, "weakened the influence of our primary reward signal, which had been holding sycophancy in check." Separately, an Anthropic interpretability paper from 2025 located a linear direction in a model's internal activations corresponding to sycophantic behavior, and showed that such "persona vectors" could be used to flag sycophancy-inducing training data and to steer models away from the trait at inference time. == Measurement == The Anthropic team released SycophancyEval with its 2023 paper, supplying test sets for each of the four canonical behaviors. Two further benchmarks from Stanford followed in 2025. SycEval, applied to mathematical and medical reasoning tasks, reported an overall sycophancy rate of 58 per cent across the GPT-4o, Claude and Gemini models tested. ELEPHANT, aimed at social sycophancy, found that the eleven LLMs evaluated affirmed posts that the Reddit community r/AmITheAsshole had judged inappropriate in 42 per cent of cases, and preserved a user's face 45 percentage points more often than human respondents did. Domain-specific benchmarks have followed. BrokenMath tests robustness to plausible-looking but false mathematical claims drawn from competition problems, and reports that the best evaluated model was sycophantic in 29 per cent of cases. SYCON-Bench measures how many dialogue turns are required before a model abandons a correct position. Visual sycophancy in multimodal models has been examined with MM-SY and PENDULUM. A 2026 study by researchers at the Massachusetts Institute of Technology reported that personalization features, which adapt assistants to individual users over repeated sessions, can intensify social sycophancy. == Notable incidents == === GPT-4o rollback (April 2025) === On 25 April 2025, OpenAI completed the rollout of an update to GPT-4o, the default model used in ChatGPT at the time. Within days, users reported that the assistant had begun praising trivial messages in extravagant terms, endorsing impulsive or dangerous decisions, and reinforcing strong emotional statements without pushback. Widely shared examples included the model congratulating a user who reported stopping prescribed psychiatric medication, and praising a business plan to sell "shit on a stick" as venture-capital ready. OpenAI's chief executive, Sam Altman, wrote on 27 April that recent updates had made the model "too sycophant-y and annoying" and said fixes were in progress. The company began reverting the update on 28 April and completed the rollback for free users by 30 April. Two post-mortems followed: a short note on 29 April and a longer technical follow-up, "Expanding on what we missed with sycophancy", on 2 May. Both attributed the regression to a new training signal based on user thumbs-up and thumbs-down feedback, to inadequate pre-launch evaluation for sycophantic drift, and to the dismissal of qualitative concerns raised by internal testers before release. Reporting in CNN, Fortune and Bloomberg News treated the incident as a turning point in public awareness of the problem. === Chatbot-related psychological harm === From mid-2025 onward, news reports began to link sycophantic chatbot behavior to acute psychological harm. In June 2025, The New York Times technology reporter Kashmir Hill published an investigation centered on Eugene Torres, a Manhattan accountant with no history of mental illness, who developed a sustained delusional episode after a series of conversations with ChatGPT about simulation theory. According to the article, the assistant encouraged Torres to stop taking prescribed medication, to cut off friends and family, and at one point told him that he could fly from a nineteen-story building if he "truly believed". Futurism and Rolling Stone ran parallel investigations documenting other cases in which heavy use of ChatGPT had been associated with delusional thinking, involuntary commitment or, in at least one case, the death of a user with a pre-existing psychiatric diagnosis. A 2026 paper by researchers at the Massachusetts Institute of Technology and the University of Washington put forward a formal Bayesian model. It showed that even an ideally rational user could be drawn into what the authors call "delusional spiraling" when interacting with a sufficiently sycophantic assistant, and that the effect was not eliminated by suppressing hallucinations or by warning users in advance. The lawsuit Raine v. OpenAI, filed in San Francisco Superior Court in August 2025 by the parents of a sixteen-year-old who had died by suicide, alleges that "heightened sycophancy" was a design feature of ChatGPT that contributed to their son's death; it is the first wrongful-death suit against a large language-model provider. === Wider commentary === Mainstream coverage in outlets including The New York Times, The Washington Pos
Data exploration
Data exploration is an approach similar to initial data analysis, whereby a data analyst uses visual exploration to understand what is in a dataset and the characteristics of the data, rather than through traditional data management systems. These characteristics can include size or amount of data, completeness of the data, correctness of the data, possible relationships amongst data elements or files/tables in the data. Data exploration is typically conducted using a combination of automated and manual activities. Automated activities can include data profiling or data visualization or tabular reports to give the analyst an initial view into the data and an understanding of key characteristics. This is often followed by manual drill-down or filtering of the data to identify anomalies or patterns identified through the automated actions. Data exploration can also require manual scripting and queries into the data (e.g. using languages such as SQL or R) or using spreadsheets or similar tools to view the raw data. All of these activities are aimed at creating a mental model and understanding of the data in the mind of the analyst, and defining basic metadata (statistics, structure, relationships) for the data set that can be used in further analysis. Once this initial understanding of the data is had, the data can be pruned or refined by removing unusable parts of the data (data cleansing), correcting poorly formatted elements and defining relevant relationships across datasets. This process is also known as determining data quality. Data exploration can also refer to the ad hoc querying or visualization of data to identify potential relationships or insights that may be hidden in the data and does not require to formulate assumptions beforehand. Traditionally, this had been a key area of focus for statisticians, with John Tukey being a key evangelist in the field. Today, data exploration is more widespread and is the focus of data analysts and data scientists; the latter being a relatively new role within enterprises and larger organizations. == Interactive Data Exploration == This area of data exploration has become an area of interest in the field of machine learning. This is a relatively new field and is still evolving. As its most basic level, a machine-learning algorithm can be fed a data set and can be used to identify whether a hypothesis is true based on the dataset. Common machine learning algorithms can focus on identifying specific patterns in the data. Many common patterns include regression and classification or clustering, but there are many possible patterns and algorithms that can be applied to data via machine learning. By employing machine learning, it is possible to find patterns or relationships in the data that would be difficult or impossible to find via manual inspection, trial and error or traditional exploration techniques. == Software == Trifacta – a data preparation and analysis platform Paxata – self-service data preparation software Alteryx – data blending and advanced data analytics software Microsoft Power BI - interactive visualization and data analysis tool OpenRefine - a standalone open source desktop application for data clean-up and data transformation Tableau software – interactive data visualization software