Comment by dwaltrip

Comment by dwaltrip a day ago

2 replies

It gets worse until we hit the ceiling on what current tech is capable of.

Then they can stop burning cash on enormous training runs and have a shot at becoming profitable.

ceroxylon an hour ago

This makes sense, but what happens when they stop burning cash on training runs and any of their competitors releases a better model that raises the ceiling?

They will have to train one that is comparable (or better), or the word will spread and users will move to the better model.

FridgeSeal 17 hours ago

They survive through inertia and “new model novelty”.

The minute they lose that (not just them, the whole sector), they’re toast.

I suspect they know this too, hence Sam-Altman admitting it’s a bubble so that he can try to ride it down without blowing up.