Where's Your Ed At

A sharp critique of the generative AI industry's economics, arguing that AI companies like Anthropic and OpenAI have no viable path to profitability. Key points include: Anthropic spent $10B on compute while generating only $5B in lifetime revenue; subscription pricing models are fundamentally broken because compute costs can far exceed subscription fees (one user's $200/month plan equated to $12,000/month in API costs); the Uber comparison used by AI boosters is invalid due to fundamentally different cost structures; AI ROI remains unproven after nearly four years; and data center debt deals are pulling in pension and insurance funds despite junk credit ratings, potentially setting up a financial crisis analogous to 2008's CDO collapse.

Why Are We Still Doing This?

Please Stop Comparing Generative AI To Uber

AI’s Economics Have Never Made Sense, And The ROI Is MIA

Is The Entire AI Infrastructure Story Bullshit?

<p>They need to build the customers.
Meanwhile, The customers need to stay hooked. Both sides need to learn.
After a while the losers go and the paying winners stay.</p>


<p>I’ll be the AI bro here. Trust me bro it’ll work out.</p>
