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> This is amazing and all but at what point do we reach the point of there is no more “real” data to infer from low resolution?

The start point. Upscaling is by definition creating information where there wasn't any to begin with.

Nearest neighbor filtering is technically inventing information, it's just the dumbest possible approach. Bilinear filtering is slightly smarter. This approach tries to be smarter still by applying generative AI.




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