alt Hacker NewsSuperstar? This Ed Zitron?
"Based on estimates of their burn rate and historic analyses, I hypothesize that OpenAI will collapse in the next 12-24 months unless it raises more funding than in the history of the valley and creates an entirely new form of AI."
-July 29, 2024
Replies
As it stands, the leaked financials prove him correct. Given their losses (not counting restructuring) they are going to need enough funding to buy any of the bottom 300-400 of the F500 companies outright just to keep the lights on for the next year.
To say that’s an outrageous amount isn’t overstating in the slightest.
Given they are already being forced to drop inference prices in an attempt to compete with Chinese providers, I don’t know if billionaire investors will be willing to hand out that much money this time around if they can’t generate enough value to break even despite the hype.
And they did raise new funding as he predicted...Since July 2024, OpenAI has raised or secured roughly $170 billion in new capital. Numbers never see before. So yes its the one, and remarkably right so far.