Comment by cheema33

> What were originally consumer graphics expansion cards turned out useful in delivering more compute than traditional CPUs.

Graphics cards were relatively inexpensive. When one got old, you tossed it out and move on to the new hotness.

Here when you have spent $1 trillion on AI graphics cards and a new hotness comes around that renders your current hardware obsolete, what do you do?

Either people are failing to do simple math here or are expecting, nay hoping, that trillions of $$$ in value can be extracted out of the current hardware, before the new hotness comes along.

This would be a bad bet even if the likes of OpenAI were actually making money today. It is an exceptionally bad bet when they are losing money on everything they sell, by a lot. And the state of competition is such that they cannot raise prices. Nobody has a real moat. AI has become a commodity. And competition is only getting stronger with each passing day.