Gotta keep in mind, profit can always be distorted based on how much employees are getting paid.
Someone is making money. In fact, a lot of people are.
Capitalism doesn’t sell performance. It sell ‘potential’ and ‘perceived gains’.
I sell my dates on my potential wealth and potential penis size. People need to get on the capitalism grindset.
It’s what we in the biz would refer to as a “grower”, which is in contrast to a “shower”.
If you’re gonna sell dates you better be a grower! Dates don’t just grow themselves!
And women sell dates on their potential to do that thing that was discussed but then try to backtrack by pretending they thought it was a joke and didn’t even bring a banana.
“I have a great venture Idea for you Susan. What if, and hear me out, what if my penis was at least average size! I already have an investor lined up in the bedroom, you’d be crazy to pass on this opportunity”
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removing the cost of R&D I would assume its profitable right? Once the model is trained running it takes significantly less computing. OpenAI has a fuck ton of customers so I would assume they are making back the cost of running their model API.
Edit: on further inspection this is covered in the article
I don’t think so
No.
Aka why not to have headlines in the form of a question.
AKA Betteridge’s law of headlines.
That’s because it’s just gambling.
With extra steps.
pretty typical with tech companies, people get too optimistic sometimes
People want to jump on the bandwagon and assume they know everything about new technology.
It’s really easy to take advantage of these laymen with things like traveling to mars or… building underground highways of tubes so people can use transportation like those bank chutes.
I hope one day, we as a species can recognize these patterns so that we may take steps to break them.
We don’t need some “big new tech” to solve the world’s problems. We need to turn around and help out our fellow man who has less than us. We have the tools, just not the desire.
It’s a cultural problem.
It’s typical for tech companies to organize as nonprofits and then restructure because they are losing cash?
Not sure if I’m misunderstanding you or what part you think is typical
So now we are actually to the point where we can ask if a corporation or more widely anything at all has any value if it makes no profit.
There are people in the world who by luck of birth or circumstance have amassed obscene wealth and they after the fact are trying to convince everyone that profit is the only thing of value. These are the real public enemies.
Altman has since said the company is losing money on its $200-per-month Pro subscriptions, which offer limitless access to its most recent model, OpenAI o1, and to its video generator, Sora AI. “People use it much more than we expected,” he wrote in a post on X.
It’s ridiculous. More people use the product, so they’re losing money? What. That’s the complete opposite of what a business is.
Not to mention the environmental damage they’ve been doing for close to no positive results.
It’s not more people using the product, it’s the limited population who are paying $200/month use it way more than they thought they would. So the costs per person paying that are going way over $200/month. Basically, they made the mistake of setting a fuck off price that was too low and a bunch of people did the math and took them up on the offer.
If the product costs that much to run, and most users aren’t abusing their access, it’s possible the product isn’t profitable at any price that enough users are willing to pay.
I almost shat myself in half when I saw how much water is needed for cooling for every prompt
needed? no, water cooling was a choice
Used was probably a better term there.
Because the people that innovate do not care for business and are not good at it, but everything in this world we created has to be sold so there is always this initial mismatch before the business graduate vultures, who innovate nothing descend on it, beg control and then go way too far in the opposite direction. At that late point the only innovation will be a slightly more rounded set of icons on the website.
Isn’t it a private company? They could say it’s worth infinity trillion dollars…
No, not quite. They’re funded by venture capitalists, who put money into investment rounds on the understanding (speculative gamble?) that the company will have a given future value. The last funding round was $6.6bn on the basis that the company will be worth $157bn when it is floated on the stock market. Ed Zitron has quite a good analysis on his page, and also why their business is a complete pile of shite:
Yeah, but not for shitty companies. I’m down to invest in a mom and pop if it helps get it off the ground. Fuck pump and dumps, and people who inflate bubbles.
Spotify hasn’t made a profit at all since its inception afaik.
valued at $157 billion
Isn’t profitable
Pick one.
Is a private company that can say it’s worth whatever they want it doesn’t make it true. Only public companies have to have the bare minimum of transparency
They’re not mutually exclusive. The Hope Diamond is valued at around $300 million, but it doesn’t make any profit.
The Hope Diamond isn’t a business.
