Partially, if OpenAI lose 11.5 billion, someone get 11.5 billion, the money is used to pay something it did not vanish in a cloud
Comment on Microsoft seemingly just revealed that OpenAI lost $11.5B last quarter
Kirp123@lemmy.world 4 months agoThe difference between 100 million and 11.5 billion is about 11 billion. If you own a bank 11 billion that’s not only that bank’s problem, it’s the economy’s problem.
gian@lemmy.grys.it 4 months ago
sus@programming.dev 4 months ago
So I wondered a bit how much it actually affects the economy.
“S&P 500” companies’ market cap is about 57 trillion dollars with a P/E ratio of about 30. So openai by itself is dragging down the total s&p 500 earnings by only about 0.5%. The bigger problem is that there are multiple companies like openAI, and a large chunk of the entire economy’s valuation is tied to the promise that all the AI companies will somehow become profitable sometime soon.
jballs@sh.itjust.works 4 months ago
When you put it that way, I’m actually kind of mad. Most of my retirement is in index funds, so essentially OpenAI just pissed away half a percent of my life savings in the last quarter!
Jayjader@jlai.lu 4 months ago
According to this article written in July, it’s a bit more dire than that if you take a step or two back. Basically, openai and their copycats/derivatives are being held up by investments from Microsoft, Google, Amazon, and Meta, who in turn are being held up by investments from Nvidia. If/when the whole chain collapses it’ll be more than 0.5% of earnings that disappear.
Kirp123@lemmy.world 4 months ago
If OpenAI goes down then it will start a domino effect as people lose confidence in AI and AI companies. That’s how the bubble pops.
SeeMarkFly@lemmy.ml 4 months ago
So it ALL depends on the definition of “soon”?
sus@programming.dev 4 months ago
Probably
boonhet@sopuli.xyz 4 months ago
It’s about 11.5 billion, really.
MattBlackAlien@lemmy.world 4 months ago
It’s exactly 11.4 billion, really.
boonhet@sopuli.xyz 4 months ago
Well, if you want to get exact, sure. But if we’re talking about half units, like 11 and a half billion, then 11.4 is so close to 11.5 there’s no difference and calling it just about 11 sorta implies that it’s a more significant difference IMO
MattBlackAlien@lemmy.world 4 months ago
You need to be as precise as your resolution, otherwise the precision is meaningless. I guess you could argue that your resolution is units of half-billion (since some things are measured like that), but the initial value of 0.1B, and your use of 0.5 rather than ‘half’ suggests a resolution of 0.1B.
This is different to the aphorism ‘The difference between a million and a billion is about a billion’, both because of the difference in scale, and the quoted resolution.
vacuumflower@lemmy.sdf.org 4 months ago
11.4 bln is 100 mln away from 11.5 bln. I’m not sure “so close” is correct here.
Alphane_Moon@lemmy.world 4 months ago
I was referring to the general concept behind the quote.
I originally want to post the OG (apocryphal?) variant:
But it sounds rather quaint these days.