alt Hacker NewsPlease do some research on the other costs involved in AI. Not a single AI company is making any profit and realistically are not close. Training models costs billions of dollars. There is no moat for these companies. If an open model comes out tomorrow that is better than Claude what happens to Claude's 1.5 trillion dollar valuation? What happens if revenue does not grow as fast as anticipated when Anthropic alone has 750 billion dollars in obligations? How do they pay their bills? What happens then.
The only company making money are hardware manufacturers who are throwing logs on to keep the fire burning through direct capital investments in their customers. Without Nvidia some of these neoclouds would already have failed.
OpenAI/Anthropic's purchase obligations don't matter. They are made to companies with plenty of cash, real assets, and other revenue streams. The only thing that happens is that AMZN, MSFT, GOOG squeeze out some upstart rivals and stay on top.
All of the compute being built will be consumed very profitably, that profit just won't be captured by delusional weirdos who believe they can build an AI god because machine elves showed them the future in a DMT trip at a poly sexy orgy, or whatever the case may be.