[VCFundedGenYer]

How exactly is AI "succeeding?" By the numbers, every AI company is on a fast track to going bankrupt at record speeds. All while burning the planet down and making electronics unavailable to literally everyone. This is not sustainable.

Keep a close eye on the "Is AI Profitable Yet?" website. The numbers will open your eyes. Please, enlighten me on how AI is successful.

[dumberquestions]

AI would be profitable today if all companies weren't constantly racing to train the next biggest model, that's the whole reason the numbers look whack.

This is basically the first time we're seeing true competition between massive tech companies, the previous state had each one of them clinging on to their own separate monopoly.

[danaris]

And if the training stops, the existing LLM models will fairly quickly decay in usefulness.

There's no free steady-state of high-quality current models for this; it's either keep investing forever or deal with models that stopped gaining new information in 202X.

[wookmaster]

What do you mean? Why would new information be important ? Most models know how to search and summarize information

[dumberquestions]

Why would they decay in usefulness?

[solenoid0937]

Anthropic's Q2 was allegedly profitable, and OpenAI is allegedly pretty close to profitability.

Spending way more money than you earn is pretty common for startups anyways, "going bankrupt" is a silly thing to say when the whole point is to spend more than you earn

[tristanj]

Anthropic is profitable, running at ~$75B ARR, and has 80+% gross margin on their API products.

OpenAI is not yet profitable, but is running at ~40B ARR and their revenue is growing rapidly at >200% YoY.