alt Hacker News> like the SpaceX/Anthropic deal
I understand the scepticism around Google's deal with SpaceX, given the former holds a stake in the latter. But Anthropic buying SpaceX's compute doesn't have any related-party smell to it. That genuinely looks like SpaceX having cornered some valuable compute.
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> That genuinely looks like SpaceX having cornered some valuable compute.
That's nice way to say "invested in AI that turned out to be flop nobody wants to pay for so they are selling spare capacity"
I think the reference was to Elon giving Dario a two-month discount on compute as part of the deal and Dario immediately announcing a profitable quarter based entirely on that discount.
Google owns 14% Anthropic and 6% xAI.
When Anthropic spends on xAI, it benefits Google. When google spends on xAI, it benefits Google. When xAI spends on Google, believe it or not, that benefits Google.
This is how a Ponzi -style circular financing scheme typically works.
If you were to treat all the hyperscalars as one company with one 10-K then Anthropic buying compute from SpaceX/xAI is an internal bookkeeping transfer between two departments. It isn't the same as top-line revenue into the AI companies. It is still mostly just financing money that Anthropic raised being transferred to SpaceX.
I'm actually talking about both. WSJ publishes Anthropic artificial profitability. Days later the reason for the profitability appears in SpaceX S-1; it's compute costs were artificially suppressed. Both are going public. It's a quid pro quo.