The whole thing was a scam

6 hours ago (garymarcus.substack.com)

This is only a surprise to HN, because all the other threads about the corrupt US regime have been flagged before. I guess now is a good time as any to start paying attention. Who would've thought that attention is all you need?

  • When you say "HN", do you mean you? Who else was surprised? The place is full of people constantly commenting about how bad the US is, how corrupt the government is, how terrible CEOs (particularly Altman) are, late stage capitalism, etc., etc.

    • You know those people have existed since practically forever, right? You learn to tune it out and then you never notice if they start being less wrong.

25M isn’t even that much money. Not only are they whores, they’re cheap whores.

  • Quite tangential, but this reminded me of a line from Human Target:

    https://www.dailymotion.com/video/x6tqvzt?start=872&mute=fal...

    "I'm sorry, you... You think I'm a prostitute?"

    looks at offered cash

    "A $40 prostitute?"

    • Cheap or not doesn’t matter.

      Sir Winston Churchill supposedly asked Lady Astor whether she would sleep with him for five million pounds. She said she supposed she would. Then he asked whether she would sleep with him for only five pounds. She answered,"What do you think I am?" His response was, "We've already established that; we're merely haggling over price."- Marcus Felson, Crime and Everyday Life, Second Edition, 1998

      7 replies →

  • Not really. They get 25m here, 25m there, a little off the top over there, a crypto pump and dump once in a while, and they end up with billions.

    While the specifics may differ, this is neither their first time doing a deal like this nor will it be their last.

  • That's something that has bothered me about this entire administration, particularly the bizarre and disturbing involvement of the Diablo-cheating billionaire.

    Everyone knew that a lot of politicians have been for sale, but I didn't realize how cheaply they were for sale. Musk able to buy his way into being in charge of an idiotic department with basically no regulation while still being allowed to CEO like five companies, and he did it for like $100 million. That's a lot of money, more than I'll ever be worth, but it's way less than I would think it would cost to buy the presidency, in charge of billions (and maybe trillions?) of dollars of sales and contracting.

    • the US is like a new born deer against battalion of ninjas when it comes to corruption.

      Decades of believing we are blessed with some sort of perpetual exceptionalism has made the American people not only susceptible to corruption but actively unknowingly promote it. Propaganda has convinced them to invite it into their house and let it know where all your money is and your bank account information.

  • There is no need for such derogatory language, sex workers would be deeply offended that you compared them to the Trump apparatus.

  • In this context they're not the whores, they're the johns. Trump / the PAC would be the whores, but what else is new?

  • It's a loss-leader. Once the patronage system has solidly taken hold, then they raise the prices. Our only consolation is that the fascist-supporting techbros are going to be victims of their own enshittification dynamic - they think they're paying customers, but they're actually the product. The autocracy will continue to increase its meddling to maintain its own political legitimacy. Moldbug's enlightened benevolent monarch who needn't care about politics is a pipe dream.

  • A whore doesn't have to charge any given john very much when they can service a large number of them.

  • > 25M isn’t even that much money. Not only are they whores, they’re cheap whores.

    I don't know, Anthropic is providing 10K open source developers with $200 subscriptions to their bot, for up to 6 months. 200 * 10000 * 6 = $12 Million total. That's even cheaper, I'm not sure what conclusion to draw from all this.

It's interesting this thread is all about how the deal is basically the same therefore corruption. And the other thread is all about how it's subtly different therefore OpenAI has no model red lines.

I'd love to hear if Anthropic actually would accept this deal, if offered.

This is one of the few interpretations that make sense of this timeline at this time. I'd be cautious since it's still speculation. But discovery is going to be interesting.

  • This interpretation is kinda obvious to anyone who has seen similar schemes in other countries. It‘s done almost by the book, except there‘s no criminal case against Anthropic management or shareholders, because USA is not yet there.

The docile donkeys that sheepishly use such products don't really care.

And they are the majority. Thats what Sam Altman understands

In a closed society where everybody's guilty, the only crime is getting caught. In a world of thieves, the only final sin is stupidity.

This HST quote seems severely outdated by now. They have already been caught, committed all the sins of stupidity and some more. All of it to the clapping mob of people who yearn for some kind of social revenge.

And it’s happening everywhere these last years.

Who could possibly know we have so many wife beaters?

  • I've said it a million times, but I'll repeat it.

    There are a lot of conspiracy nuts like Alex Jones, and the amusing thing to me is that there is a conspiracy of elites who are exerting large amounts of unelected control of the government, and who are actively working to keep you down to enrich themselves, and it's not even a secret.

    We call these people "billionaires", and at this point they don't even bother hiding it. Trump had a streamlined bribery system with his stupid cryptocurrency and being in charge of a publicly traded company while in office, Musk bought his way in so he could be in charge of a new department and start defunding any organization that has ever tried to investigate him, and there are hundreds of examples.

    Instead morons like Alex Jones will go on the radio and blame lizards or something, and then his listeners will take that and then start blaming Jews or Mexicans, while cheering on the actual conspiracy that's making their lives terrible.

    • Some people just don’t want to hear it no matter what. Not because they are unusually stupid or inherently evil but because they feel severely hurt by the societal changes and left out. Anything that gives a hint of hope of reverting things to be the way they were is justified and no price is too high.

      They can steal as long as they are our thieves.

      To get through to these people you have to validate their deep fears. Not just say - shut up, you are stupid, vote for me.

      5 replies →

PS: If openly bribing a crony gov to cancel your competitor is now the de-facto standard of making business in the US, I don't see how any rational investor could still see US companies as a secure investment. When the rule of law degrades into pay-to-play politics, the inevitable result is a mass exodus of both capital and top-tier talent.

  • It's bizarre seeing the outright bribery.

    A lot of things that people call "bribery" is really just ensuring that your preferred candidate gets in office. You couldn't give money directly to the candidate for personal use. Donations went to the campaign of the guy who already agreed with you. The FEC used to take a dim view of outright pay-for-service, even dressed up.

    This is new. And now people need to decide how they feel about that. They get one chance to say "no, that's not how we do things." Even if the administration suffers a blow this November, if they hear that this is mostly acceptable to their base, it will be what every politician does from here on.

    • >A lot of things that people call "bribery" is really just ensuring that your preferred candidate gets in office.

      Having a preferred candidate you give money to is already bribery - whatever the law says. You fund your favorite pony to get the power. They then scratch your back or lend a sympathetic ear.

      2 replies →

  • > If openly bribing a crony gov to cancel your competitor is now the de-facto standard of making business in the US

    It very clearly is, the present AI instance is far from the only recent case.

    > I don't see how any rational investor could still see US companies as a secure investment.

    They evaluate the propensity and ability to profitably engage in open corruption the same as they evaluate other capacities of the company. “Secure” isn't a binary category, and the risk here is much like any other risk.

    > When the rule of law degrades into pay-to-play politics, the inevitable result is a mass exodus of both capital and top-tier talent.

    That is the expected result of increasing perceived risk. yes, probably one of those “slowly and then all at once” things.

  • > When the rule of law degrades into pay-to-play politics, the inevitable result is a mass exodus of both capital and top-tier talent.

    No, it's not inevitable. What you've described is the way a lot of authoritarian states work, such as China. China attracts plenty of capital and external talent, including people from other countries such as Taiwan and the United States. You have be all-in on the CCP's rules, though.

    Vietnam operates in a similar way. Untold billions of FDI in the past 20 years from Japan, the U.S. and China. Talk with top executives there, and you'll frequently find close connections or family ties with leaders in Hanoi.

  • The logical conclusion to your analysis is that Musks companies must be a great investment. Musk already owns most of the government after all. And the US is still among the largest economies in the world.

  • This has already happened, its a key reason why the dollar is down 15% since the new admin took power.

  • >I don't see how any rational investor could still see US companies as a secure investment.

    Investors just care for the returns. As long as they can identify and bet on the side doing the bribing, they're fine...

  • Bit melodramatic. The US still has the most talent, most capital, and best property protections of anywhere in the world. Name a country that (1) doesn't have any quid-pro-quo system with the govt, and (2) has pro-growth pro-capitalist policies.

  • >I don't see how any rational investor could still see US companies as a secure investment.

    2025 was also the first year that the majority of stocks were traded off-market (i.e. hedgie darkpools, no public price discovery).

    ----

    Hope ya'll bought your gold before Monday.

    #RemindMe2days [gold@5290USD, this post]

    • Trades in dark pools still get published to the consolidated tape; they're still part of price discovery. What's "dark" about them is that you don't see the order book, but people break up large orders into smaller orders to disguise their order size in lit markets too.

    • >2025 was also the first year that the majority of stocks were traded off-market (i.e. hedgie darkpools, no public price discovery).

      Do you have any sources for that?

  • > I don't see how any rational investor could still see US companies as a secure investment.

    It’s the best investment - just bribe your way to contracts

  • the inevitable result is a mass exodus of both capital and top-tier talent

    To where?

    • Anywhere offering opportunity.

      I'm in Europe, I'd like to see it come here. The news I see suggests China's ahead of us in this race, but I don't know if that's for all talent, or if it was just an artefact of a lot of Chinese people in the US on work visas returning home.

      Or indeed whether the news about China doing well here was real or hallucinated by an LLM.

      4 replies →

To summarize all nepotism indicators posted here by various people:

- The Kushner family has invested in OpenAI.

- OpenAI uses Oracle cloud. Ellison is close to Trump.

- Sheikh Tahnoon bin Zayed Al Nahyan (the “spy sheikh") has invested $500 million in World Liberty and is also invested in OpenAI.

- Altman is a protege of Thiel, whose Palantir integrates the external AI at the Pentagon.

- The scam occurs right before the Iran war starts. The Groq sale scam (where Trump Jr.'s 1789 Capital bought shares just months before the sale) occurred right before Christmas. So both were timed to be overshadowed by larger events or holidays.

  • Sweet, excellent idea for the government to tie itself to a bubble.

    If it doesn't pop while Trump's in office, his successor will inherit this mess, bubble will pop, and that person will have to deal with managing the fallout.

    The time to lock-in gainful employment is now (if you can).

"On the very same day that Altman offered public support to Amodei [CEO of Anthropic], he signed a deal to take away Amodei’s business, with a deal that wasn’t all that different. You can’t get more Altman than that."

Yep. The political donation was the main thing. But let’s not forget AI Czar David Sacks has been crying about Anthropic being woke for a couple years. He has probably been trying to kill every single non right wing AI company. After years of whining about lawfare on the All In podcast, these people are all too happy to engage in the worst kind of lawfare.

There is a cabal of extremists steering technology contracts in this administration and among their donors. The names are familiar - Peter Thiel, Joe Lonsdale, Elon Musk, David Sacks, Palmer Luckey, etc. A future administration will need to purge all their companies from our government and investigate them for corruption and treason.

A lot of rightfully righteous anger here. I'm amused that this wasn't the response when semiconductors from Taiwan were exempted from tarrifs. There, the bribe was much smaller...

  • The corruption is never-ending, but I think with this case people were especially struck by some of the details like OpenAI claiming their "red lines" were exactly the same as Anthropic's.

    Not even trying to justify the switchover would have raised less eyebrows than giving it a clearly nonsense justification.

I'll try not to be too flippant but... he thought the US ever _wasn't_ an oligarchy?

  • Flippant be hanged! IMO, it all started with W Bush, who put the icing on that cake by invading Iraq based on a televised lie. He was "sneaky" but the current administration doesn't even try to sneak. The mid-terms may be our final chance to save our nation.

    • > The mid-terms may be our final chance to save our nation.

      I don’t understand anyone who believes that. What do you expect to happen during the midterms exactly that would bring the US back on some mythical track of rule of law, with a just and fair government? The corruption runs so deep, the institutions have been gutted, there are no good people in charge left. This ride is going to last a while, and the way out (if there’s one) looks nothing like the way in.

I was scratching my head trying to work out the difference between the deal with anthropic, and the deal with openai.

I asked gemini.

The one detail was that the contract enforced the law with anthropic, but with openai it was legal uses.

Sounds like hair splitting, but this article explains the real story.

> In oligarchy, connections and donations decide. It sure look like the US is transitioning from the former to the latter

Transitioning? That happened post WW2. How many more wars in the Middle East do we need to convince people?

Though, I think it’s hard for Marcus’ generation to see this. Odd given Vance’s connections to Thiel et al.

  • > Transitioning?

    To be fair, there has been a notable recent shift in the sense that nobody even tries to hide what is going on anymore.

    We've moved beyond manufacturing consent to ass out corruption on full display, "try to stop me."

> In capitalism, the market decides.

> In oligarchy, connections and donations decide.

> It sure look like the US is transitioning from the former to the latter.

One has to wonder on what planet Gary Marcus has lived so far.

  • In his defence, previously money won, rather than bribing someone to get a competitor nuked from orbit.

    Sure you could smear an opposition company, but just straight bribing the government is new, at this scale

  • There was a long stretch where money would be more of a deciding factor than who you know, and I think we're crossing the threshold where who you know is becoming all that matters.

> In capitalism, the market decides.

> In oligarchy, connections and donations decide.

> It sure look like the US is transitioning from the former to the latter.

I thought this was already pretty clear - since Elmo bunny hopped on Trump’s rally stage

> In capitalism, the market decides.

> In oligarchy, connections and donations decide.

> but after Brockman had donated 25M to Trump’s PAC

Sounds like they paid Trump and the government, can it get more capitalistic?

Oligarchy and capitalism don’t contradict each other

"Is transitioning to oligarchy"? Really? I don't see how present continuous is justified here.

It has always been an old boys club where connections and hand greasing decided it all. President Trump is the product of this system, not its creator or builder.

> but after Brockman had donated 25M to Trump’s PAC

> In capitalism, the market decides.

> In oligarchy, connections and donations decide.

Author is confused about what Capitalism is. It worked exactly as expected, Capital used itself to advance it's own needs - maximizing (own) growth.

Capitalism is not about markets, it's about Capital.

There is a reason why lobbying is an accepted practice in one of the most Capitalistic countries in the world, and generally forbidden in Socialist EU.

  • > generally forbidden in Socialist EU

    This is one of those cases where you wish your critics were right. One in 40 people in Brussels is a lobbyist, but apparently it's forbidden.

  • Which prominent economist has argued that bribes are an essential part of Capitalism?

    • Someone came up with the "invisible hand of the free market" theory and become quite famous so I'd say we can add our own crackpot theories on top, apparently they don't have to be very well researched to stick around

What does this have to do with AI capabilities specifically?

This is literally the politics of running massive business interests, which I understand is relevant for technology and everything…

… but isn’t Gary Marcus’s whole game that AI is not capable and people are wrong/lying about AI tech capabilities?

I feel like this is a handy moment for Gary where he can say he could basically ignore all of his previous claims (because they’re all technically wrong) and shift into “AI is bad for society because it’s more crony capitalism” or something kind of muddy argument.

  • What's your argument here? He's not allowed to discuss crony capitalism because you imagine that he thinks LLMs suddenly became reliable.

    • It’s a comment about who Gary Marcus is presenting himself as

      My intention is for other people to think what I believe which is Gary Marcus is a hack and has no business being listened to with respect to technical evaluation of AI because he’s not technically competent enough to do. The existence of his polemics waste everybody’s time and generally waste resources like we’re wasting right now.

      His entire schtick has been as the debunker in chief of claims of AI capabilities

      If you actually look at his polemics they increasingly have nothing to do with his original argument because his original argument not only is flawed but is ignorant of the technical capabilities

      1 reply →

I wouldn't be surprised if after some time we found out that Amodei signed the same deal as well, and then he will go on a press tour about how he was forced to do it.

Is this a blog post or someone's notes for a blog post?

  • It's a short and quick blog post. Bloggers used to do that once in a while (before twitter made it the only allowed mode of expression to please the advertisers.)

    Other posts from G.Marcus are much longer. Go read them, but be prepared for some "adversarial thinking" if you strongly believe in the scaling hypothesis. Might border on "bubble popping ". You're all for free speech and the free market of idea, so it won't be a problem.

    However, he has a low threshold for bullshit. And SamA is probably not getting any higher in his esteem this week.

I think he is right here, but it is interesting to see that Gary Marcus is transitioning to AI too (writing style...)

  • > But here’s the kicker > Let that sink in

    The biggest tell for AI writing is just being AI adjacent. I've started avoiding reading AI articles here because (surprise) they all feel like a chatGPT transcript.

Seems pretty unimportant and inconsequential though because LLMs don't work anyway because they aren't logic-based symbolic AI, right?

  • I know you trying to mock Marcus, but the reality is that all the big LLM providers have been shifting to integrating symbolic reasoning into their models for over a year now since they noticed that scale-alone is a dead-end. Also DeepMind's AlphaFold, which won the nobile price, is neuro-symbolic AI - so I think both of those points very much justify Marcus's long criticism of pure subsymbolic LLM "AI" as a path to real causal reasoning.

This https://x.com/UnderSecretaryF/status/2027594072811098230 is the simplest and most logical explanation as to what happened. The disagreement was over who would be the arbiter of "lawful usage" of the technology, the US government or Amodei.

  • No, that’s not accurate at all, and in case you are genuinely confused:

    1. Anthropic should be free to sell its services under whatever legal terms and conditions it wants.

    2. The Pentagon should be free to buy those services, negotiate for different terms, refuse to buy those services, and terminate contracts subject to any termination clauses.

    You may or may not agree with what the Pentagon wants to do, but if things had stayed there, there would be no real issue.

    The problem is that the Pentagon is trying to bury Anthropic as a company, calling it a danger to the United States because it exerted its non-controversial right in (1).

    Any “explanation” that doesn’t address that is confused itself or trying to confuse the issue.

    I leave it to you as to which category the linked source falls under.

    • 1. Agree

      2. Agree

      > The problem is that the Pentagon is trying to bury Anthropic as a company, calling it a danger to the United States because it exerted its non-controversial right in (1).

      My take is that the DoD very much wanted to continue using Claude. However, Amodei refused to budge on relinquishing final say over Claude usage. The DoD took this as a personal offense (how dare this guy, does he know who we are, etc) and lashed out in retaliation. The whole sequence of events makes sense when viewed under this lense.

      5 replies →

  • Do you actually believe things this administration says? Is there some kind of drug that makes this possible?