alt Hacker NewsOpenAI will likely not IPO this year because their numbers are so poor compared to those of Anthropic's. However if they don't IPO, they cannot pay for all those datacenters they ordered.
Meanwhile, Chinese companies are creating SOTA models and make them available for free, strongly limiting the amount of money that OpenAI and Anthropic can demand for their similar models via API. Their sky high valuations are likely to suffer as chinese models are considered "good enough" and safe to use when hosted in the West. They even have fewer safeguards and are thus more suitable for cybersecurity tasks.
tl;dr: They're fucked. Don't buy them.
Replies
Don't worry, AI companies and the companies around them have ensured that so much of the US economy is tied into AI that they've become Too Big to Fail, so that when things eventually collapse the US government will give them trillions of dollars without asking anything in return. That will allow them to socialize their irresponsible spending and wipe the red out of their ledgers so that they can focus on destroying the environment at massive scale.
Very different races.
The incentives in north america favor software-esque plays where the players are racing towards % of marketshare based on usage.
China on the other hand is driving towards winning of manufacturing and % of hardware produced by them. China is competing with Nvidia, OpenAi and Anthropic are collateral damage.