Like, for every dollar you give them they spend $5 to deliver the product. They’re selling $10 bills for $2. They seem to have taken the joke about making up losses with scale pretty seriously.
Well, it would be useful before concluding this to see a breakdown between OpEx, CapEx, and R&D.
Ofcourse in the 21st century none of this actually matters people just want to buy low sell high.
OpenAI may implode and absorbed by MSFT. Anthropic may implode and be absorbed by Amazon.
Nvidia may not have the same demand of chips once the datacenters have been built out, but the hyperscalers are reaaaaaaally huge.
May as well say US economy depends on being the planet’s datacenter.
It's unclear if they even can be, since commodity models you can use for free catch up to them pretty close to yearly.
>We are seeing AI now driving real business results across the company. We delivered our first ever $100 billion quarter. Five years ago, our quarterly revenue was at $50 billion. Our revenue number has doubled since then, and we are firmly in the generative AI era.
They also do a lot of different stuff in AI, like they make their own TPUs and "Anthropic recently shared plans to access up to 1 million TPUs". So some of the business is a bit Nvidia like.
