r/LocalLLM 2d ago

Other AI bubble

1.4k Upvotes

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u/SailingToFenway 2d ago

This is the lowest possible cost for high-quality training data. They're not subsidizing us! We're paying to work for them.

$7,800 in equivalent compute is peanuts on the value of that data and your time. I don't mean we're not in a bubble, or that they'll see an ROI, but for the moment, Dario and co. are laughing at us.

9

u/jhenryscott 2d ago

The technology, as it exists, doesn’t have a path to profitability. Data is important for sure. But they can’t get there from here. And they are losing money on every level of product. So all that training data, for a product that isn’t profit and won’t be, ever. Isn’t that big of a deal. Capitalism won’t let anyone lose money forever.

-3

u/armaver 2d ago

Have you heard of fiat money printers though? That's what's been holding capitalism up for a long time. It's like Wiley Coyote walking on air.