> if OpenAI can’t use the compute, someone else can.

The problem with that is that OpenAI can only afford to pay for the compute because they are burning investor money (and so are most of OpenAI's biggest clients). They are losing billions. If they stop burning money, nobody else will be there to pay for that compute at OpenAI's cost.

Sure, somebody will probably be able to use these GPUs, they just won't be able to pay nearly as much for them as OpenAI does.

In reality, it's just nowhere near worth as much as OpenAI pays for it. Inflating the cost of compute is part of the problem caused by the circular financing, and if (or maybe when) OpenAI goes, the price of compute will go with them.

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andsoitis 2 hours ago | parent [-]

> investor money

But that’s the point. Investors believe investment in AI will pay off.

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InsideOutSanta 2 hours ago | parent [-]

Right, "believe".

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andsoitis 2 hours ago | parent [-]

That's how all investment works. That's how money works. You believe some story. Not everyone believes the same story.

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InsideOutSanta 2 hours ago | parent [-]

Believing only makes things true for so long until things fall apart. You can't keep burning billions every quarter. At some point, you run out of investors who believe, and the ones you have run out of money (see: Softbank).

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andsoitis an hour ago | parent [-]

Yes of course. Is the point you're actually trying to make that investors are making a pure call, so their belief in the story is misplaced? That they should believe a different story?

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