You know how a gambler who loses it all starts begging his family for cash or putting their house up for a loan?
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You know how a gambler who loses it all starts begging his family for cash or putting their house up for a loan? We all know that story usually has a "happy" ending. Right?
Well, SoftBank is basically doing the same thing. They are talking to banks to get a massive $40 billion loan just to buy a stake in OpenAI. It is their biggest loan ever. I’m sure betting the house on a single hand will work out perfectly this time. https://www.livemint.com/companies/news/softbank-seeks-record-40-billion-loan-financing-banks-fund-openai-stake-invest-masayoshi-son-ai-bubble-concern-liquidity-11772773618772.html
These AI people are running out of money
Specifically _other_ people’s money, too. What was that Thatcher quote about socialism again?
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@nixCraft Is the madness finally comming to an end? How I’ve been longing to this day.
I hope those 30k engineers can now find something with meaning and purpose to put their cognition and skill into. Preferably something related to saving the planet from impending doom. That, or cool video games.
Also, should we be warning the genetics and/or robotics folk that tech bros are coming for them next?
@jordgubben @nixCraft It still looks like madness to me. Banks has been cautious for some time now as they already invested a lot and the companies do not seem closer to give the money back (with maybe the exception of Nvidia) and continue to ask for more. Banks are not as irrational as the stock market. And this layoff will apparently only give Oracle a 10 billion cash flow when they needed 150+ billion. I don't see how this help achieve their goal. It surely doesn't help convince banks and the cash flow is still much lower than needed for the planned expansion. And they are laying off the people who may help develop their products. But I suppose big tech is now convinced they can survive by using AI to build everything.
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@jordgubben @nixCraft It still looks like madness to me. Banks has been cautious for some time now as they already invested a lot and the companies do not seem closer to give the money back (with maybe the exception of Nvidia) and continue to ask for more. Banks are not as irrational as the stock market. And this layoff will apparently only give Oracle a 10 billion cash flow when they needed 150+ billion. I don't see how this help achieve their goal. It surely doesn't help convince banks and the cash flow is still much lower than needed for the planned expansion. And they are laying off the people who may help develop their products. But I suppose big tech is now convinced they can survive by using AI to build everything.
@antopatriarca Was there ever an (actually achievable) goal in the first place? Or was it always ’cool toys’ spinning out of cost control?
If in the end the eventual burst of this bubble takea a few tech giant things down with it, then perhaps that’s the best outcome we can hope for.
Going to hurt a bit while all who’d made themself dependent on products and services no longer maintained migrate to smaller (and hopefully open source) options though.
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@antopatriarca Was there ever an (actually achievable) goal in the first place? Or was it always ’cool toys’ spinning out of cost control?
If in the end the eventual burst of this bubble takea a few tech giant things down with it, then perhaps that’s the best outcome we can hope for.
Going to hurt a bit while all who’d made themself dependent on products and services no longer maintained migrate to smaller (and hopefully open source) options though.
@jordgubben @nixCraft With goal here I simply mean building the data center. But I certainly agree with you this is just speculation and trying to get as much money out of the bubble as possible before it eventually blows up
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these are early signs that the AI bubble is about to pop (combined with wars and tariff biz). When it does, it won’t just sink those "Plagiarism Machine" startups, it will create a massive problems for the whole IT/tech industry and it will even hurt other businesses too. It's going to be so bad that the Great Depression of 1929 will look like a walk in the park.
@nixCraft
I just hope that it mainly the economie of the USA is what is going to be wrecked.They have destroyed the world economie often enough now with their dumb behaviour.
Like every 15 years
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Over the past few weeks, several US banks have pulled off from lending to Oracle for expanding its AI data centres, as per a report. So Oracle is now firing 30000 engineers as banks pull out from financing AI data centres and OpenAI deals to meet fools dream. Wise investors are pulling out of data centres now as they found out it's impossible to reach AGI & exponential AI growth through increasing the scale of compute. LLMs have already hit their developmental plateau https://www.livemint.com/companies/news/oracle-layoffs-tech-giant-to-slash-30-000-jobs-as-banks-pull-out-from-financing-ai-data-centres-11769996619410.html
@nixCraft Does that mean Warner Bros Discovery wont be sold to that dipshit's son who is a bigger dipshit? No more bank money to give as pocket money.
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Over the past few weeks, several US banks have pulled off from lending to Oracle for expanding its AI data centres, as per a report. So Oracle is now firing 30000 engineers as banks pull out from financing AI data centres and OpenAI deals to meet fools dream. Wise investors are pulling out of data centres now as they found out it's impossible to reach AGI & exponential AI growth through increasing the scale of compute. LLMs have already hit their developmental plateau https://www.livemint.com/companies/news/oracle-layoffs-tech-giant-to-slash-30-000-jobs-as-banks-pull-out-from-financing-ai-data-centres-11769996619410.html
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these are early signs that the AI bubble is about to pop (combined with wars and tariff biz). When it does, it won’t just sink those "Plagiarism Machine" startups, it will create a massive problems for the whole IT/tech industry and it will even hurt other businesses too. It's going to be so bad that the Great Depression of 1929 will look like a walk in the park.
@nixCraft I don’t feel that confident, but it does seem like a real possibility
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these are early signs that the AI bubble is about to pop (combined with wars and tariff biz). When it does, it won’t just sink those "Plagiarism Machine" startups, it will create a massive problems for the whole IT/tech industry and it will even hurt other businesses too. It's going to be so bad that the Great Depression of 1929 will look like a walk in the park.
@nixCraft En wat dacht je van al die copyright rechtzaken die worden aangespannen na het ongevraagd kopieën van boeken en teksten.
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@nixCraft on one hand it makes me very happy to see the AI bubble burst, but it's incredibly sad to see that workers are the ones to suffer again
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Over the past few weeks, several US banks have pulled off from lending to Oracle for expanding its AI data centres, as per a report. So Oracle is now firing 30000 engineers as banks pull out from financing AI data centres and OpenAI deals to meet fools dream. Wise investors are pulling out of data centres now as they found out it's impossible to reach AGI & exponential AI growth through increasing the scale of compute. LLMs have already hit their developmental plateau https://www.livemint.com/companies/news/oracle-layoffs-tech-giant-to-slash-30-000-jobs-as-banks-pull-out-from-financing-ai-data-centres-11769996619410.html
@nixCraft If Oracle were to die or split up thanks to AI, that would a be a fair, if late, punishment for killing Sun Microsystems.
Me, holding a grudge? Nevarrr! -
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