Over the past decade AI has gone from a specialized field of research to a full scale technological revolution. I will begin by examining the key steps involved in the creation of modern AI systems based on Transformers and Large Language Models (LLMs). I will discuss some outstanding weaknesses, which are being rapidly addressed through research and are unlocking a wave of new applications.  I will discuss our recent work on reducing hallucinations and increasing factuality.  I will discuss work examining and improving reasoning, leveraging computation for reasoning at test time, as well as agents that mix code generation and execution with neural reasoning. I will discuss the growing capabilities of LLMs as virtual agents living in information worlds, as well as agents based on Transformers that interact with the real world, controlling robots and autonomous vehicles.