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Cake day: January 29th, 2025

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  • His opinion is actually that AI can use his code no problem, they just have to pay a fee.

    The problem is that the big LLM AI companies will just say… ‘Fuck off’, because they don’t like paying for any data, and they also think their models will be advanced enough to write their own libraries soon (if not now, depending how much they believe their own marketing hype).

    Pricing is an additional unanswered problem in his new model. As a hypothetical: if 1000 traditional OSS users generate $1000 value in conversion to paid users in his old model - what would an AI license cost? Because one license (eg to Anthropic/Claude) would theoretically be cutting off millions of users, maybe 80%+ of his userbase. Would he ask for millions as a licensing fee?

    Whole idea is half-baked IMO, but I am sympathetic to the bullshit situation he finds himself in.


  • It is a four year contract. OpenAI is hoping they’ll be able to suppress their competitors long enough to regain their lead and firmly established a dominant position in the market.

    I’m not too worried though for two reasons. First, I’m confident they’ll eventually be in breech of their memory contracts for being unable to pay - as the whole AI market is a house of cards, and has no real path to profitability beyond hopes and dreams. Banks and angel investors will eventually start asking ‘where are the profits’ and begin pulling out the rug. Second, the chip suppliers began ramping up production (as you suggest) some time back, so the current crazy price increase should only be temporary once they have increased supply output in a year or so. They would have to sign new contracts to get their ‘40% deal’ again, and the memory giants will have much higher price demands for any such deals in future, and I don’t think OpenAI will have the money.



  • pulsewidth@lemmy.worldtoFunny@sh.itjust.worksWhy RAM is so expensive
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    24 hours ago

    This is wrong. The truth is far worse.

    Sam Altman / OpenAI recognized that they were losing their LLM market lead to rapid advances by Google Gemini and others, so they took the most anti-competitive step they could.

    They determined that the key inputs for AI advances and market leadership now were access to high speed storage and graphics processing - whether directly or via contract to datacenters as-yet unbuilt.

    They already had significant contracts and share-trade arrangements with Nvidia - whom is happily gouging the AI Bros for all they can. What everyone in that market needs though, is high speed memory chips for SSDs, RAM, and graphics card memory. So, they secretly negotiated two contracts simultaneously with the two largest memory chip manufacturers to aquire ~40% of the memory market supply.

    They have agreed to buy memory chips wholesale, unuseable until they go through further manufacturing to install them intp RAM/SSDs/GFX - but OpenAI has zero facilities or contracts to perform those steps, and as yet has made no public announcement (that I’ve seen) of their actual plans for what to do with the chips they’ve entered contracts to buy.

    It is a strategy called ‘market denial’, and we are all paying for it with much higher prices for anything that needs these chips or is tangential to those markets.


    • AI bubble will pop when the datacenters that are financed to be completed in the first quarter fail to meet their deadlines, and continue to fail to meet them mid-year. Banks will pull loans, and rapidly, the dominoes will fall. I doubt OpenAI will survive 2026 (fingers crossed), Nvidia may, since theyre actually shipping products and making sales off the bubble - they’ll take a big hit, as will Microsoft, Google, Facebook. It will cause a worldwide recession if not a financial crisis. 75% chance by EOY.

    • Trump will die. His health has circled the drain for years, and there’s only so many medical interventions that can be applied. 50% chance.

    • I’ll finally wash my car (been putting it off all 2025), 95% chance.







  • Many of them have invested heavily into AI and are panicking that it’s not going to pay off soon, or perhaps ever.

    So they push it even harder hoping their bet will somehow turn around and they won’t have to take the hit to their stock options or reputations.

    People often think CEOs and upper management attained their positions because they are experts in the field and savvy at their jobs, but many of them have just failed upwards with a high appetite for risk-taking and low ethical standards - they’re often actually shockingly unskilled idiots. ‘Trumps’, if you will.


  • Same with Russia, at odds geopolitically - in constant proxy wars across the world.

    And yet… President Krasnov has repeatedly praised president Putin, given him favourable deals (abandoning the Kurds, pausing sanctions around Ukraine, removing sanctions imposed post-Crimea annexation, holding off on using very powerful financial sanctions available to directly squeeze Russia’s plutocrats and Putin).

    Not sure your theory that a country being at odds geopolitically means shit when Trump is president and the Republicans in the house and senate largely enable/encourage him.