Daniel Miessler’s post discusses the misconception that GPTs (Generative Pre-trained Transformers) are simply text completion tools without actual understanding. He argues that GPTs do possess a level of understanding and the ability to apply knowledge in new situations and contexts. The post provides a definition of understanding and applies it to GPTs, showcasing their ability to create a Shakespearean poem about forbidden love in the Star Wars universe without being prompted with those specific details.