alt Hacker NewsOpenAI has all the name recognition (which is worth a couple billion in itself), but when it comes to actual business use cases in the here and now Anthropic seems ahead. Even more so if we are talking about software dev. But they are valued at less than half of OpenAI's valuation
What is somewhat justifying OpenAI's valuation is that they are still trying for AGI. They are not just working on models that work here and now, they are still approaching "simulating worlds" from all kinds of angles (vision, image generation, video generation, world generation), presumably in hopes that this will at some point coalesce in a model with much better understanding of our world and its agency in it. If this comes to pass OpenAI's value is near unlimited. If it doesn't, its value is at best half what it is today
Replies
Obligatory reminder that today's so called "AGI" has trouble figuring out whether I should walk or drive to the car wash in order to get my dirty car washed. It has to think through the scenario step by step, whereas any human can instantly grok the right answer.
> What is somewhat justifying OpenAI's valuation is that they are still trying for AGI.
"AGI" is the IPO.
> If this comes to pass OpenAI's value is near unlimited.
How?
If we have AGI, we have a scenario where human knowledge-based value creation as we know it is suddenly worthless. It's not a stretch to imagine that human labor-based value creation wouldn't be far behind. Altman himself has said that it would break capitalism.
This isn't a value proposition for a business, it's an end of value proposition for society. The only people who find real value in that are people who spend far too much time online doing things like arguing about Roko's Basilisk - which is just Pascal's Wager with GPUs - and people who are so wealthy that they've been disconnected with real-world consequences.
The only reason anyone sees value in this is because the second group of people think it'll serve their self-concept as the best and brightest humanity has ever had to offer. They're confusing ego with ability to create economic value.
> What is somewhat justifying OpenAI's valuation is that they are still trying for AGI.
And that's the dealbreaker for me since they've been so adamant on scaling taking them there, while we're all seeing how it's been diminishing returns for a while.
I was worried a few years back with the overwhelming buzz, but my 2017 blogpost is still holding strong. To be fair it did point to ASI where valuation is indeed unlimited, but nowadays the definition of AGI is quite weakened in comparison.. but does that then convey an unlimited valuation?