posted in Technology
AI Bubble Teetering on the Brink as OpenAI Admits to Massive Financial Failure: A $20 billion setback.
futurism.com/future-society/ai-financial-bubble-openai-billions-failure
Replying to @eicker@lemmy.world
Given the monumental difference between those two figures, investors across the world of finance are taking it as a sign that demand for AI is much lower than previously thought
No. Demand for OpenAI’s services is lower than they thought.
Every day, the open weights models get smarter and cheaper and new competitors are coming online every few weeks. They cost a fraction of what OpenAI charges.
Demand for AI products and services is continuing to grow at a break-the-world pace. It’s just these big “AI first movers” are in trouble because it’s too easy to copy what they do. They expected an enormous “first mover advantage” (which is a real thing) but it turns out that AI is trivial to train and replicate (just have to scrape the Internet and scan a lot of books).
In other words, it’s turning out that “first mover” is a disadvantage in this (AI) industry.
Replying to @riskable@programming.dev
It’s not fucking AI. Stop repeating the marketing garbage, and stop advocating for slop.
Replying to @raspberriesareyummy@lemmy.world
What isn’t AI? What are you even talking about?
BTW: I don’t work for any AI companies and I don’t believe the hype for one second that they’re building extinction-level AGI. What they’re building is general-purpose “intelligence” that’s OK-ish at some things, great at others (that don’t make them much money, LOL), and fucking terrible at anything that requires reliable truth (on the first try, LOL).