by Argonaut998
17 subcomments
- Does anyone feel that the jig is almost up? Surely the returns aren’t anywhere close to what investors expect with the sheer amount of cash at this point in time.
Are Anthropic and OpenAI rushing to IPO for immediate cash so they can delay the inevitable? Surely this cycle of robbing Peter to pay Paul to pay John to pay Tim must end.
We are only just now getting a taste of the “true cost” of these tokens. Then there is a lack of compute bottlenecking everything. Even now I’m looking at the 7.5x rate of tokens for Opus 4.7
Open models are promising and cost a fraction of what they proprietary models cost which the big two are vulnerable to when companies start to feel the cost of tokens.
Will data centres be built fast enough and powered sufficiently to lower the cost of compute thus tokens?
Is it just a giant Hail Mary to get to AGI ASAP before the economy collapses?
Above all else, I simply feel the models have plateaued. I am noticing productivity loss for tasks I deem as “complex”
by shubhamjain
27 subcomments
- If you think you need to spend $100B, does using a third-party cloud provider still make sense? It doesn’t matter what sweet deal Amazon is pitching—in that scenario, you’d want to own your stack. Especially in a hyper-competitive field like this, where margins are going to matter a lot soon.
It feels like these hyperscalers are just raising as much as they can giving extremely rosy projections becauses these sooner or later peak is going to be reached (if that hasn’t happened already)
by iot_devs
11 subcomments
- Someone can explain to me what's the expectations for these AI labs?
I mostly see their products as commodity at this point, with strong open source contenders.
Eventually it will become hard to justify the premium on these models.
- Sounds like moneygrab is accelerating before consumer grade local models are getting good enough for local inference in few years. Huge house of cards here. Demand skyrocketing until it’s suddenly dropping entirely with ondevice inference.
by jinushaun
4 subcomments
- Isn’t this kind of like the Nvidia/OpenAI deal? Just circulating debt/money
by sensanaty
6 subcomments
- I'm no economist, but how exactly does this make sense? Amazon is basically just giving them 5B which will then be used to repay them back 20x that amount??
by adamlangsner
0 subcomment
- So Anthropic essentially got the same 5% cash back deal anyone who has a Visa Prime card gets?
“AI Companies: They’re just like the rest of us”
by mark_l_watson
0 subcomment
- I hope this is not off topic, too much: with the current geopolitical situation I expect reduced capacity to manufacture both memory chips and all types of CPUs/GPUs. I base this on news I read from: Japan, South Korea, and Singapore.
If I am correct (and I hope that I am wrong!) this will drastically increase the cost of building these new data centers.
- Are taxpayers going to have to bail out these entities when all this insanity settles?
by ozgrakkurt
1 subcomments
- So they are basically taking debt from amazon which is not a financial institution?
by gabrielsroka
1 subcomments
- $25B
https://news.ycombinator.com/item?id=47844891
by upupupandaway
0 subcomment
- Is there a good open source stack to replace Claude or Codex that can be run locally on some advanced hardware?
by idiot-savant
0 subcomment
- “Trainium”, what a retarded name for a chip.
- The Ed Zitron rant will be phenomenal.
by razvanneculai
0 subcomment
- Personally i have felt like my Pro plan which is like 20 dollars, is like a free subscription somewhere else. I use claude to research and help me complete my code and i feel like i run out of my 5h usage limit in like 30 minutes with Sonnet...
I hope that they find a way to forward, because personally im very passionate about AI, and in my opinion if used right its the future.
Allthough one thing i cant seem to find, maybe im havent searched enough, but what is the profit of anthropic?
- I've heard that when you start having major spends on AWS you can get some good discounts, but I expected it to be bigger than 5% for $100B!
- This kind of overstatement of "investments" has been trending this direction for years. This is called a rebate in any other industry.
- The best thing for humanity, economy, technology, society, progress and environment is that this scam should come down ASAP.
by fred_is_fred
0 subcomment
- Tulip Corp has reached a definitive finance agreement with Rhine. Rhine will invest 5 Billion guilders in Tulip Corp, and Tulip Corp will be buying 100 Billion guilders of fertilizer and irrigation water from Rhine. This helps Tulip Corp ensure that it's critical infrastructure needs are met.
- I would like Amazon to give me $1 billion for which I promise, even pinky promise, I will pay them $20 billion someday. What a great deal for Amazon!!
by sidewndr46
0 subcomment
- 20x return on investment?
by ChrisArchitect
0 subcomment
- https://www.anthropic.com/news/anthropic-amazon-compute
https://www.aboutamazon.com/news/company-news/amazon-invests...
- Hope this will let them boost their capacity and offer higher limits on code models...
- > At the heart of this deal is Amazon’s custom chips: Graviton (a low-power CPU) and Trainium (an Nvidia competitor and AI accelerator chip). The Anthropic deal ...
Yeah, totally not desperately seeking investment to keep the party going ...
- [dead]
- [flagged]
by shevy-java
0 subcomment
- They owe us money.
I think when they rack up the RAM prices, they should pay for the damage they caused here. I don't need AI anywhere, but the increase in RAM prices is annoying me. Thankfully I purchased new RAM for a new computer, say, 3 years ago, so I can hold out for the most part - but sooner or later I have to purchase a new computer, and I really don't see why I should pay more, solely due to AI companies and greedy hardware manufacturers. Simple-minded capitalism does not work - I consider this a racket as well as collusion.
by secondcoming
0 subcomment
- all your GPUs are belong to us
- Seems everyone's first instinct here is to complain.
Lame.
This is an unprecedented situation in human history. Only the US could marshal resources like this to pursue this technology. It's exciting to watch it play out.
by ryanshrott
0 subcomment
- Wow, big money
- And so the bubble keeps bubbling...
- hacker news is so useless, look at all these negative cynical comments
by hirako2000
1 subcomments
- I thought vendor financing was illegal.
by lelanthran
0 subcomment
- They're already out of money???
Perversely, it appears that the market will remain rational longer than they can remain solvent :-)
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