The "it costs $2.40ish for every 1$ of profit Open AI makes" from Zitron's latest newsletters has stuck with me. It's not even profitable.
It’s all driven by the hope that if they just keep investing in it, at some point in the future they can replace all human labor with it, so any investment in the here and now is worth it, no matter the cost. They do honestly believe that. And I hope the awakening will be imminent and brutal. 💀
Just to stick the recent newsletter in a reply, so folks can go nose themselves: www.wheresyoured.at/oai-business
OpenAI, a non-profit AI company that will lose anywhere from $4 billion to $5 billion this year, will at some point in the next six or so months convert into a for-profit AI company, at which point it...
Nope. And that profit is not going to keep up with their increased costs, either. The whole thing is a shell game.
At some point surely the hyper scale providers are going to stop charging the AI companies mates rates for compute, and then… yikes.