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ArisKatsaris comments on The genie knows, but doesn't care - Less Wrong
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If you need specify the AI to be bad ("tyrannical") in advance, that's begging the question. We're debating why you feel that any omni-powerful algorithm will necessarily be bad.
Look up the origin of the word tyrant, that is the sense in which I meant it, as a historical parallel (the first Athenian tyrants were actually well liked).