OpenAI, a non-profit AI company that will lose anywhere from $4 billion to $5 billion this year, will at some point in the next six or so months convert into a for-profit AI company, at which point it will continue to lose money in exactly the same way. Shortly after

OpenAI, a non-profit AI company that will lose anywhere from $4 billion to $5 billion this year, will at some point in the next six or so months convert into a for-profit AI company, at which point it will continue to lose money in exactly the same way. Shortly after this news broke, Chief Technology Officer Mira Murati resigned, followed by Chief Research Officer Bob McGrew and VP of Research, Post Training Barret Zoph, leaving OpenAI with exactly three of its eleven cofounders remaining.

This coincides suspiciously with OpenAI’s increasingly-absurd fundraising efforts, where (as I predicted in late July) OpenAI has raised the largest venture-backed fundraise of all time $6.6 billion— at a valuation of $157 billion.

  • Gork
    81·
    13 hours ago

    ChatGPT Plus is likely, for many people, a “lifestyle product.” And the problem is that, when people lose their jobs or inflation hikes, these products are the first to get slashed from the household budget.

    So I have a slightly different experience here. When I lost my job recently I actually ended up signing up for ChatGPT plus. I abused the ever living hell out of 4o to crank out tailored cover letters and matching resumes. I was able to roughly triple my job search productivity until I got a job three months later.

    Was it worth it? For that timeframe (3 months, $60) hell yeah since the mental labor of handcrafting cover letters for each job listing is extremely taxing and takes some of the awfulness out of the entire job hunt.

  • Clent@lemmy.world
    20·
    1 day ago

    Microsoft and Nvidia are investing but they are both positioned to gain a return on investment by cloud hosting and hardware sales respectively.

    Apple dropping out indicates they saw behind the curtain, did the math and realized they can create their own platform for less.

    There is no path to profitability for them. Unlike other recent billion dollar tech companies there are no human workers to squeeze. Hardware doesn’t work for less than minimum wattage.

    • imPastaSyndrome
      6·
      1 day ago

      There is no path to profitability for them. Unlike other recent billion dollar tech companies there are no human workers to squeeze. Hardware doesn’t work for less than minimum wattage.

      Kind of funny to see them Trying to capitalism squeeze physical laws And fail.