Now you can keep track of how many billions the AI companies are losing on AI.

[kennedyrichard@fosstodon.org]

@sebastian @julesbl @PaulaToThePeople @MikeElgan I myself have a couple domains for a couple of years and only recently started writing small articles/essays. It is not much but it is nonetheless a fresh cup of water in a vast desert of disinformation and slop.

[carbsrule_en@polyglot.city]

@MikeElgan that can't be right, OpenAI look like they're not entirely setting money on fire. I guess they have some very creative accounting tricks to make it look like they're only half going broke.

[gokushrm@mastodon.social]

@MikeElgan nice

[gbargoud@masto.nyc]

@deepfryed @MikeElgan

xAI's ratio seems to be even worse than Meta's although the actual numbers are better than most.

[dckim@mastodon.social]

@MikeElgan I don't think that those companies would spend so much money, with such little short term return if it did not make sense to do it.

What do you think will be the longer term return? Is this a combined competitive loss? Are they each compelled to do this? It seems like a lot but, are any of these companies going broke on this?

What is the end-game here?

[fmd@mastodon.sdf.org]

@MikeElgan Is there any information on lifetime of these data center racks and cost of replacement? How is Moore's law on these Nvidia GPUs? If this stuff is getting superseded within a few years, are their capex forecasts allowing for that? It seems like a fresh competitor with more efficient algorithms and new generation of hardware could kill here. More deep seek type events etc.

[kronogarrett@meow.social]

@MikeElgan Burn, baby burn.

[only_ohm@mas.to]

@MikeElgan And yet there's no sign of the shareholders suing the directors for failing in their fiduciary duties, which I presume means the shareholders are bent as nine bob notes too.

[john_fisherman@mastodon.social]

@MikeElgan CLiMatE cHanGE MitiGatION is ToO ExpEnsIve, We CAN't!

[jumpmed@mastodon.social]

@azad @MikeElgan or by becoming so large (on paper) that when they fail the government pays out to prevent total collapse of the stock markets. We the people are left footing the bill even though we were collectively fighting against it the whole time.

[earthshine@masto.hackers.town]

@MikeElgan there are a few other winners like TSMC and Micron etc. In fact when you add all the economy propped up *by* this ai foolishness you get a huge bubble that's the primary thing keeping the markets afloat. Once AI companies finally fold under the pressure, I strongly suspect the rest of our economy to go down like a sinking ship, especially in the west.

[emmecola@fediscience.org]

@MikeElgan Some of these companies rely only on AI, while others have a diversified business. I think this will make a big difference in the long run

[okuna@social.tchncs.de]

@MikeElgan Amazon, Tesla and many others weren't profitable for decades.
Now they are run the world.
They just try to achieve the same thing.

[gepasi@fediscience.org]

@happyborg @MikeElgan construction industry (data centers), no one else

[mensrea@freeradical.zone]

@MikeElgan in a gold rush, sell shovels

[max@gruene.social]

@n_dimension @MikeElgan In case someone honestly believes this (and this isn't read as the obvious joke about AI-bros saying similar things):

The internet basically was never losing money, it enabled researchers to communicate and compute things way faster than before when they needed to send out mail and tapes manually. The amount of value their faster research created is basically immeasurable.

Also of course the internet wasn't burning our planet alive to work.

[hannorein@mastodon.social]

@MikeElgan Shouldn't it use profit rather than revenue to answer the question of whether it is profitable? You can have all the revenue in the world and still make a loss.

[bob_zim@infosec.exchange]

@julesbl @sebastian @PaulaToThePeople @MikeElgan A future? That sounds like a problem for whoever is in charge later! The people in charge now will have already made their money and power wrecking everything by then.

[adolfoneto@bertha.social]

@MikeElgan Can we really trust those numbers?

[sfpodge@famichiki.jp]

@MikeElgan @savvykenya let’s see SpaceX now