Comment on 5 Signs the AI Bubble is About to Burst

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very_well_lost@lemmy.world ⁨7⁩ ⁨hours⁩ ago

people will stop using it for all the things they’re currently using it for

They will when AI companies can no longer afford to eat their own costs and start charging users a non-subsidized price. How many people would keep using AI if it cost $1 per query? $5? $20?

OpenAI lost $5 billion last year. Billion, with a B. Even their premium customers lose them money on every query, and eventually the faucet of VC cash propping this whole thing up is gonna run dry when investors inevitably realize that there’s no profitable business model to justify this technology. At that point, AI firms will have no choice but to pass their costs on to the customer, and there’s no way the customer is going to stick around when they realize how expensive this technology actually is in practice.

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