wizardbeardOpenAI courting private-equity firms with guaranteed minimum 17.5% return - Who the fuck believes they can deliver this shit?
PogogunnerThey know private equity is almost tapped out, and whoever is first in this latest round will grab the largest portion of what’s left. I don’t know if it’s the end game, but all but the most delusional investors are starting to ask where the returns are after years of the same promises
OwOarchist“Trust me, bro. Just a few more hundreds of billions, and then we’ll be able to replace all your employees forever.”
The subtext sounds like “we guarantee your returns, then go public. If we go bankrupt you get the retail investors’ money, if we become the next Google you get your own private island.” All you have to do is trust Sam Altman and (breaks out in hysterical laughter).
Do they mean 17.5% a year? My balanced bond-equity portfolio made 14-15% annual returns over the past three years by the radical method of buying “shares of companies that make profits” and “bonds backed by my local and national government.”
the radical method of buying “shares of companies that make profits”
That’s OpenAI out then
Charlie StrossThis kind of ROI to me stinks of late-stages Ponzi scheme—the smart money has made its pile, but they need to keep pulling in the rubes to keep the illusion of growth running.
Yes, promising “returns like a good year on the stock market, but no risk” usually says Ponzi.
When the forensic accountants go through OpenAI’s books in 2027 or 2028 I would like to see whether anyone but staff and suppliers made money from it.
to invest, put your money in that hole
Simple. When it comes time to repay that investment, they’ll just get the money from new investors, offering them even higher returns!
Charles Ponzi, looking up from hell
“Jesus Christ, they’ve perfected the art!”
V0ldek
WesDym@wizardbeard The same kind of stupid, greedy, short-sighted people who run private equity firms, I imagine.
o7___o7I watched The Big Short again last night. It’s absurd how we seem to be going through the exact same steps as the subprime crisis did, not even 20 years later.