Francisca Sinn

Another really excellent piece from Ed Zitron. If you missed his 3 part series on how the AI bubble might collapse, I suggest you make time for that.

“Whatever obtuse fantasies you have about the current state of generative AI are irrelevant to a much larger problem: that the infrastructure being built and compute commitments being made are being done so at a level that demands that generative AI and AI compute generate over $2 trillion in annual revenue by 2030. When I say that, I mean it absolutely has to do that otherwise none of the data center capex makes sense, and neither Anthropic nor OpenAI can pay their commitments.”

https://www.wheresyoured.at/ai-is-slowing-down/

#AI #AIBubble #Anthropic #OpenAI #AISlop #DataCentres

AI Is Slowing Down

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Ed Zitron's Where's Your Ed At
Jun 8 at 5:47pmWeb
Show threadFrancisca SinnJun 8

“But seriously folks, the combined compute demand of every single AI company in the world doesn’t currently reach $100 billion — and it needs to be ten times that by 2030 or all those data centers got built for no reason!

And for that to happen, both Anthropic and OpenAI need to be making about $400 billion a year in annual revenue, which means there needs to actually be that much demand for AI services! Right now, Anthropic and OpenAI’s combined projected revenues for 2026 sit somewhere in the region of $60 billion — so, you know, they only need to grow by 496% by the end of 2029! “

https://www.wheresyoured.at/ai-is-slowing-down/

2/3

#AI #AIDataCentres #AIBubble #Economy

AI Is Slowing Down

If you liked this piece, you should subscribe to my premium newsletter. It’s $70 a year, or $7 a month, and in return you get a weekly newsletter that’s usually anywhere from 5,000 to 18,000 words, including vast, detailed analyses of NVIDIA, Anthropic and OpenAI’s

Ed Zitron's Where's Your Ed At
Show threadFrancisca SinnJun 8

“The problem with this marvelous plan is that at some point there had to be an honest transaction — real, honest, sustainable demand based on a reliable product that people liked paying for because they understood its value. Right now, AI revenues are either chaotically experimental or so thoroughly-subsidized that labs are giving away hundreds of dollars a user in the hopes that at some point said user might want to pay even more money for measurably less value, the kind of proposition you make when you think your customers are fucking idiots.”

https://www.wheresyoured.at/ai-is-slowing-down/

3/3

#AI #AIDataCentres #AIBubble #AIEconomy #AI Collapse

AI Is Slowing Down

If you liked this piece, you should subscribe to my premium newsletter. It’s $70 a year, or $7 a month, and in return you get a weekly newsletter that’s usually anywhere from 5,000 to 18,000 words, including vast, detailed analyses of NVIDIA, Anthropic and OpenAI’s

Ed Zitron's Where's Your Ed At
Show threadFrancisca SinnJun 8

“I’m sorry to be a little surly and dismissive, but the AI industry has burned over a trillion dollars and I’ve spent two years being told I’m a luddite and an ape for not celebrating it. I don’t care! I’m not impressed! I’m not coddling this mediocre, expensive crap!“ #EdZitron #AI

Same, friend, same.

Show threadFurballsNHairballsJun 8
@fsinn
Only problem is......tons of corporate decision makers are piling on the AI train....and spending money on it.
They're literally banking on it making a huge contribution.
I have it thrown in my face all day long....yet I don't use it cause I prefer to think and show my worth...not whateverAI is worth.
Show threadStephJun 8
@fsinn #fuckAI. It isn't just the money. The resources. The electricity. The contaminated water. All of it. All in search of something that is barely competent. It can outsmart government officials, especially #DiaperBoy, but that's an exceedingly low bar.
Show threadTim Ward ⭐🇪🇺🔶 #FBPEJun 8
@fsinn Wasn't it PT Barnum who said something to the effect of "nobody ever lost money by overestimating the stupidity of the punters"?
Show threadAmin GirasolJun 8

@TimWardCam @fsinn don't blame the punters. They're boggled by the insane boosting of the LLM bubble by the media, by their bosses, by the academy and by the sociopaths running the AI companies.

Only a small handful of us have the background and the time to evaluate what's true and what's not and see this scam for what it is.

The punters are doing their best in a hostile information environment. There is no organisation with any heft looking out for their interests.

Show threadgdtrfb57Jun 8
@fsinn grifters gonna grift
Show threadRupert V/Jun 8
@fsinn I don't know how many subscribers Ed's list has (other than not as many as it should have), but it seems it takes longer to get to me than someone posting about it on Mastodon and then someone I follow boosting that.