Their revenue and additonal metrics which I cannot disclose does justify their valuation. Their ICP who are using them (RevOps and Marketing) also love it, and have begun reducing SFDC spend as a result.

> Nvidia and the companies whose main offering is computing power. Efficiency and commodification will lead to something akin to the fiber overbuild of the dot com era

Most foundation model companies are already rate limiting enterprise customers due to lack of compute capacity. There is an actual bottleneck in capacity that the buildout is solving.

> Because their core offering will be commodified

Get. This. In. Your. Head.

Commodification is treated as a win. It means 3-5 vendors can take majority of the marketshare while expanding TAM and giving later stage investors multipliers they can use to exit.

It also means distribution becomes the key factor, and that is a toggle that is easy to manage.

> Question becomes if there is or isn’t a correction first. With its associated period of stalled growth (akin to the 2000s post bubble bursting)

A correction implies that there is an underutilization of capacity. We are not at that point, and won't be for the next 3-5 years.

Additionally, most foundation model companies are trying to expand up the chain into applications as well, much like how hyperscalers transitioned from being IaaS and adding additional abstraction layers to reduce deployment friction.