Simulating everything, sort of: The promise and limits of world models

World models are an emerging category of AI designed to simulate the physical world rather than just processing language. Experts suggest these models could overcome current LLM limitations by focusing on specific applications like robotics and asset generation.
Why it matters
World models represent a potential shift in AI development from purely text-based intelligence to systems that understand physical reality, which is critical for future automation.
The Bet Simulating everything, sort of: The promise and limits of world models Experts explain how they work, what they can do, and what’s still unsettled.
7 Credit: Aurich Lawson | Getty Images Credit: Aurich Lawson | Getty Images Text settings Story text Size Small Standard Large Width * Standard Wide Links Standard Orange * Subscribers only Learn more Minimize to nav Over the past few years, many of us have gotten a crash course in what we now call artificial intelligence—but really, it has mostly been a crash course in large language models. Increasingly, however, LLMs are no longer the only category of AI drawing high expectations, massive funding rounds, and significant research and product development.
Over the past year, we’ve seen a plethora of new announcements in a category labeled “world models,” and you’ll likely see more movement there in the coming months and years.
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