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But see these examples where it utterly fails at even the most basic form of compositionality:

This is from the paper. We don't talk about it.

But you should talk about it because when you say it 'utterly fails', you leave out that GLIDE does much better: https://cdn.openai.com/papers/dall-e-2.pdf#page=15

Agreed. And it is an improvement, no doubt. But still far from perfect.

That would put a damper on the hype, much more fun to look at the handpicked results and claim the singularity is upon us :)

Yep, seems like it knows about words but not grammar

Basic word proximity would be enough to deal with the basic stuff like "red cube" but it's struggling even with that.