[etempleton]

The deal with Anthropic gives me more pause about the whole market. More circular spending. They are all propping each other up making it look like they have more revenue than they really have. I think Open AIs S-1 will be just as crazy. I don't think there is any rationality or plan to all of this. AI doesn't pay for itself. It won't for a very long time.

[eightysixfour]

Anthropic showed operating profit (NOT profit) this quarter: https://www.wsj.com/tech/ai/mind-blowing-growth-is-about-to-...

Demand is there, money is coming in to these companies from customers. It isn't all circular.

[atonse]

Not really, this seems to be a very traditional "we need more cores, captain!" and "here's a datacenter with cores" rental.

Anthropic has grown 80x this year (according to their CEO). They are probably desperate to buy more inference compute for things like Claude Code, not for future investments. In the mean time, Grok seems to not have enough traction to utilize all the spare compute xAI has built with Colossus I and II.

This is one of those cases that shows that Elon is exceptionally better at atoms than he seems to be on the software side.

[aeternum]

Have you used Claude Code and you still believe AI doesn't pay for itself?