DRAM makers are doing ok too
@doragasu @w_b Yeah. In a gold rush, it's the people selling picks and shovels that make the money.
Although even there, the spoils are very uneven. I heard that companies like G.Skill are in trouble—they package memory chips into RAM modules, and they're getting pinched on the supply side because chips are thin on the ground and on the demand side because they're having to charge higher prices that fewer people are paying.
Profits come after total domination of the market and destruction of competitors.
Haven't we all learned the tech playbook of the last 40 years yet?
#RegulateAI
@TCatInReality @maxleibman yup.
1. Operate at a loss until all the competition who are not backed by venture capital goes bankrupt.
2. You are a monopoly now. Proceed to degrade quality and charge ridiculous prices.
3. Profit.
Luckily they seem to have underestimated how long step one takes this time.
@HollieK72 @ehproque @maxleibman
Probably why there is a parallel race to a surveillance state.
In a word (pointed by Corey Doctorow), #Enshittification
@TCatInReality @maxleibman Unfortunately for Scam Altman and his friends, there is no market here.
Consumers overwhelmingly hate "AI" chatbots, and very few people are willing to pay what these things actually cost to operate.
Consumer AI is largely a distraction.
It's the corporate/government uses of generative content and agentic control that are the real threats.
Maybe they've been driven to madness from listening to their chatbox... AI psychosis
My imagination is better than language.
Anything, but electricity
Last time I tried ChatGPT mini 4 it seemed trained to avoid saying it was possible to run a company without a CEO.
Counterpoint: the only thing that's "just a matter of time" is the bubble bursting.
GenAI is the opposite of useful tech of the last couple of decades. Costs are only going up, infrastructure rapidly becomes obsolete, and NO vendor has turned a genuine profit.
And that's not changing, because the product is unreliable, and every time vendors try to switch users from the "all you can prompt" smorgasbord to charging what it actually costs, folk stop using it at all.
It's too busy solving climate change and curing cancer.
Edit: sorry, I meant "causing" climate change and cancer.
@maxleibman LOL, that was literally Altman's business plan: "We have made a soft promise to investors that once we’ve built this sort of generally intelligent system, basically, we will ask it to figure out a way to generate an investment return for you"
https://www.bloomberg.com/opinion/newsletters/2025-10-15/openai-has-a-business-plan
I think any self-respecting super intelligence would just spend ten minutes laughing at him if he asked it that.