Here's a summary from Perplexity of the key points from the best video on AI that I have seen recently:
Excessive Spending: Major tech companies like Meta, Google, and Amazon have significantly increased their capital expenditure (capex) to build AI infrastructure and stay competitive in the rapidly evolving AI landscape. Low Returns: Despite the enormous investments, the returns on these AI investments are not yet matching the level of spending, creating a potentially unsustainable situation.
Microsoft's Investments: The video specifically mentions Microsoft's substantial investments in AI, including a $13 billion investment in OpenAI.
Contrasting Partnerships: An interesting point raised is that while Microsoft invested heavily in OpenAI, Apple reportedly secured a partnership with the same company for free just 18 months later, suggesting potential inefficiencies in how companies are approaching AI partnerships and investments.
Industry-wide Concern: The video suggests that this pattern of high spending and low returns is not limited to a few companies but is a broader trend in the AI industry.
Future Implications: The "time bomb" metaphor implies that if this trend continues, it could lead to significant financial challenges for companies heavily invested in AI development.
It’s nascent tech. It will be years before returns starts showing up. I don’t think that this is a bubble or time bomb. Definitely spending will be adjusted in 3-4 years time if desired results are not achieved. CNBC is just sensationalising this,
Microsoft gets a share of profits and licence to use openai model however they want. Apple gets a corporate deal. Big difference.
Fair enough, but it is indeed true that Apple got GPT on their phone for free. Someday they'll even make GPT pay for it as they do with Google
I have a feeling Apple did this just to piss off Google so that Google comes back with a $10B/yr offer for iPhones to use Gemini
Apple is also exploring local LLMs that can run from device. Safe to say everyone wants to hedge bets and have options.
I still think it's all worth it though. If we can have self driving cars and drone deliveries, we can have AI assistants too. Just a matter of time before they improve further.
No, crypto and NFTs were the trillion dollar bomb
It could be like VR. Was the buzz thing but today is just a hobby technology
I think thats where people are wrong, its not just other block chain, nft , Ar, Vr , concept its so much beyond that and it going to touch each and every aspect of person life whether its techy or not
Microsoft's $13 billion investment in OpenAI has been pivotal to its AI strategy, but recent events have exposed risks in this partnership:
Lately, I’ve been wondering if AI is heading down the same path as the dot-com boom. With all the hype and huge investments, it makes me think...could this be another bubble ready to burst?💥
What are your thoughts?
