If you added up all the major AI valuations, it's apparently worth more than products Americans constantly buy and rely on for their main life. So either AI is going to be involved in every Americans life to a large degree, and paying real money for, or these valuations are insanely wrong.
there are plenty of people who basically believe this is the end of the human economy - there will be nothing left that isn't done by AI in the future. Even the bits left that humans do will be human facades on AI driven activity (like your hairdresser will be viewing you through AI powered glasses using AI powered scissors etc).
So from that point of view you can indeed look at it as the entire value of the economy should be invested into AI companies.
That is ultimately where it is headed and has been headed for over 100 years now.
The question is when will we get there.
If the answer is tomorrow, money means nothing and none of these investments matter. If the answer is 30 years, well lots of money to be made up until the inflection point of machines being able to design, build, and repair themselves.
> My neighbors just gave Ford $60k. It'll be a while until my neighbor gives Anthropic $60k.
How much of that 60K does Ford actually keep? And how much will it be once BYD is allowed in the US? The forecast for Ford is pretty much only downwards, the possible upside on AI is huge.
If every company in the F500 starts spending $2000+ on AI credits per employee, then every consumer product will indirectly be funding AI companies. I think it's already the case that companies small enough to avoid/skip getting O365 or Google Suite subscriptions will pay for AI first.
Valuations are based on future expected earnings, not revenue. It cost Ford a lot of money to make that $60k car. The margins for AI companies are unknown but the market is pricing that they’ll be higher at one point. Not that they’ll attract more revenue from the average person.
> My neighbors just gave Ford $60k. It'll be a while until my neighbor gives Anthropic $60k.
AI company revenues aren't driven by consumer subscriptions.
The people doing $20 or even $200 per month plans for their side projects aren't driving the demand. It's going to be business customers spending $1000/month or more per developer and all of the companies feeding their business processes through the API like call centers, document processing, and everything else.
If you're thinking of AI companies as consumer plays you're only seeing the tip of the iceberg. We get cheap access to Claude because they want us playing with it so when it comes time for our employers to choose something we can all lobby for Anthropic.
I guess I’m not surprised that if one “added up all the major AI valuations,” it’s more than any single consumer purchase or even most single companies.
The average person spends 2,800 with prime or 1100 without. 75% of Amazon shoppers have prime so about $2500 a year. Amazon collects 35% on each sale where they ship and package for you.
Amazon makes 800 dollars off of each person in revenue.
At 20 year depreciation it’s $250 a month. Close to Anthropic’s $200 model. IMHO at this point a lot of developers would rather walk than code manually.
Cable TV begs to differ. I grew up working poor and plenty of people around me dumped a lot of money into cable TV subscriptions, and $120 back in the late 90s is $240 now.
Computer costs keep collapsing. Image and audio generation is turned out to be less computer intensive than text (lol).
First company to launch 24/7 customized streaming AI slop wins!
I think the poster was saying giving away the models for $200 isn't sustainable for the provider, not that a user won't pay $200 for the latest and greatest models.
Ford probably made 3k profit on that car. Given the falling costs of inference, what are the chances your neighbor gives anthropic 3k in profit over the next few years? Not terribly bad.
I'm not sure exactly what kind of point you are making but the valuations are at least nominally based on the expected value of the business far into the future and aren't comparable to, say, purchases done over a year despite both being denoted in dollars.
Whenever I read this I think "why are they even asking? You tell the kid hw and projects are done on the computer and that's it."
When I had trouble concentrating and learning 7x8 and random ones around there, my dad made me stand facing a wall so I would concentrate lol. Not in a forceful way, but it was his tool to make sure I concentrated til I got it.
I can't imagine him watching me make a major life mistake like trying to learn and practice my work on a phone instead of sitting down at a desk.
After all the stupid drama in the last few years, we loaded Linux Mint Mate on all my parents computers. My mom can't really tell the difference and my dad likes it.
If Microsoft is losing 65 year olds, they've got a problem.
Microsoft lost my 80yr old aunt and my two under teenager kids. My last hold-out at home is my son's laptop, which he needed Windows for a proctered exam (now completed). He's excited to soon be on the same OS as his other family members.
Project Ozone 3, Enigmatica 2 Expert, Nomifactory, GregTech New Horizons, Sky Factory 4, and SevTech Ages all run fine under GNU/Linux, is there some modpack that doesn't work?
If you can get bedrock working on it, I’ll be happy to follow your steps. None of their friends play java edition and it’s not compatible with their realms.
I once read a funny comment about a young guy told by his parents to consider what everything costs vs its value if he invested it and let it compound.
25 year old buys a knife set he didn't really need because it's on sale 50% off.
If he invested that $49, eventually it's worth $200. So buying it costs $200 by the time he's old, and clutter for 40 years.
Employees often make mistakes that cost companies thousands of dollars. And there's no shortage of stories where employees cost companies tens of thousands and millions.
When a construction guy messes up measurements and thousands of dollars of work has the be removed and redone, no one thinks of taking the employee to court. Why would you want to take your Ai to court?
When the construction worker messes up a job that then causes injury or damages the property they absolutely get sued. The state can even get involved if the mistake is deemed criminal negligence.
In your example the owners will often take the construction company or small business owner to court. Most trades people negotiate and redo the work for free or much reduced cost to avoid this.
In office settings if you expose PII you will likely be fired.
I am really losing faith in hacker news intelligence levels or at least reading comprehension.
We were talking about people sueing AI for mistakes.
Employees do not get sued by their employer for mistakes. If your employer wants you to dig a foundation per plan, and you measure it wrong and dig it in the wrong orientation on the lot, you might get fired, but you will not pay the $50k+ to rip out the cement and put a new foundation.
what the hell are you on about? Have you ever been employed? Employees do got reprimanded because of their mistakes. Employers just don't sue via the courts for the same reason you don't sue your spouse first thing when they break a plate. They settle via internal penalties first.
(Not only that, employees who got a reprimand too heavy handed can sue back. Plenty of cases around.)
"AI" company provides a service. They might or might not be adequate, that's not the point, the point is that the ability to sue them must always be on the cards if the agreed upon terms aren't met.
I have no idea what you are talking about. I've been employed my whole adult life and I have never seen an employee get sued ft $50k because his mistake caused the company to lose $50k.
I was at Costco and ran browserbench speed test on the Neo vs several of the windows laptops. The neo beat them all, even the $1199 laptop.
The $500 windows laptop for sale actually performed worse than my 2011 27" iMac running Linux Mint.
This might not be correct really, but since my family has less than 1 TB of media to backup, I simply have three 1TB HDDs with copies of all the stuff.
I got the HDDs out of all the computers I upgraded to SSDs.
My family with 3 people, two dirt bikes, and a gas generator for camping owns four 5 gallon gas cans.
So I alone without trying can fit 80L without even filling up my car.
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