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Comment by agentifysh

4 days ago

I think this is the best article on open AI that I've ever read. A lot of content these days will try to paint OpenAI in sensational ways that really doesn't get to the bottom of whether open AI has an economic mode, and this article does a very thorough job of explaining why OpenAI doesn't have power like the other platforms.

And so this goes back to my theory that open AI's execution is basically to get it itself in a position where the market cannot afford to have it implode. Basically, it wants to or it needs to be too big to fail. And I think we're already kind of seeing the politicization, if you will, sort of the rocket race between two superpowers or large powers on the AI front, and I think that Might be a viable strategy.

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agentifysh

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chasd00  3 days ago

I don't see OpenAI being too big to fail happening, the public is already very skeptical of AI. Also, there are other options available and therefore not a national security issue. Finally, OpenAI failing has no impact on employment or like societal disruption. In fact, it may increase employment if OpenAI fails.

The only other way to reach too big too fail status is if allied countries risk collapse if it goes under ( like the big banks in the financial crisis ) which I don't see happening either.

Lramseyer  3 days ago

Yeah, I was a bit surprised that the author didn't mention that facet of Open AI. It did mention infrastructure goals, but the reality is that Open AI's infrastructure spending commitments have inflated the stock prices of quite a few hardware companies (like Micron and WD) and caused a strain on the market.

The real danger here is how over-leveraged Open AI is. No other AI player is as exposed. Their massive spending commitments are all precariously balanced on the other end by their user base, and if that evaporates, the whole thing will fall apart and that could crash the stocks of other players ...and by crash, I mean bring them down to a realistic value. But the economy is counting on this to work, which is why I believe that Open AI's strategy here really is to make the market exposed to Open AI's risks.