In this talk, the speaker demonstrates the (first-ever) neural computation device – the DishBrain – which is capable of real-time synthetic biological intelligence (SBI). The speaker discusses this advance within the theoretical framework of active inference: a corollary of the free energy principle which is an approach to understanding behaviour that rests upon the idea that the brain uses an internal generative (world) model to predict incoming sensory data. They make use of these theoretical ideas to train dissociated neurons to perform an intelligent task. SBI is an integration of biological cortical cells and silicon based traditional computing via high-density multielectrode array (MEA). The goal is to develop AI chips made from biological neural networks. The DishBrain technology uses cultured cortical neuronal cells which form dense connections with rich spiking activity when plated on CMOS-based high-density MEA. A closed-loop system is then established to embody these cultures in a simulated game-world representing the classic arcade game ‘Pong’.