Discover how Otto and dm are revolutionizing retail with their own Chat-GPT technology, stepping into a new era of business efficiency.

The Otto Group and dm, two major German retailers, are embracing generative AI (GenAI) by developing their own versions of Chat-GPT, named ogGPT and dmGPT, respectively. Alexander Birken, CEO of the Otto Group, highlights the transformative potential of GenAI, likening it to the impact of electricity on society and economy. The goal is to equip all 40,000 Otto Group employees with ogGPT, fostering an environment of exploration and opportunity.

Both companies are leveraging Open AI’s Chat-GPT technology and Microsoft’s Azure Open AI Service, focusing on hosting the software within their IT infrastructure for data control. This rapid development, achieved in two weeks by a small team, underscores the agility and innovation in the retail sector.

The practical applications of these tools are vast. Employees can upload documents and knowledge databases, interact with the AI assistant for faster solutions, and continuously train it for optimized performance. dm plans to integrate various data sources, including their internal SAP systems and social media trends, into dmGPT, aiming to enhance efficiency and productivity across their operations.

This GenAI initiative is part of a broader shift towards technology in the retail industry, with the Schwarz Group (Lidl, Kaufland) building an AI campus and transforming into a tech company. However, concerns arise regarding China’s use of AI in commerce, with accusations of AI-driven product design copying and reproduction. While Otto’s Birken calls for a balanced view towards Chinese competitors, others advocate for a stronger emphasis on European values and self-reliance in AI development.