Hi, this is Wayne again with a topic “AI Is a Financial Black Hole”.
Github co-pilot might be running at a loss. According to a report from The Wall Street Journal, GitHub co-pilot, which costs users $ 10 a month, was losing Microsoft over $ 20 per month per user. In the first few months of this year, with some heavy users costing Microsoft up to $ 80 a month, Microsoft has not responded to the claim that GitHub was running at a loss but Nat fredman, who was CEO of GitHub when uh co-pilot was launched in October. Of 2021 claimed that uh called the claim false.
However, fredman left the company in November of 2021 and has not provided any additional details with the Wall Street Journal standing behind their original reporting. At the beginning of this year, chat GPT was estimated to cost openai $ 700,000 a day to run at 36 Cents. A query now here: can I just jump in for a second? How does that account for the hardware, because open AI would probably roll their own Hardware? So is that just in power, I’m honestly not sure or is that with amortised Hardware cost across it too? I’M assuming that, but I’m not sure anyway, uh yeah. It’S well known that most llms are resource. Hogs analysts have project projected that unless these AI systems become much cheaper and more efficient, we might see a significant dampening in investor Euphoria over AI, due to the heavy cost associated with deployment and uncertainty around profit models. Yeah yeah, so this is what we talked about yesterday.
Um and whether or not the GitHub co-pilot thing is necessarily true. Something that I still stand behind is the access to Bing, chat and now Windows, co-pilot being completely free, is wild. That’S mind-blowing to me, oh by the way apparently um open AI is using Azure. That makes sense right because of the Microsoft, Microsoft, investment yeah, okay yeah, so the chat’s going on woo AI crashing yeah. Not yet it takes a bit more time for the Silicon Valley.
Investor Bros to uh chill out. This is part of the reason, though um, why innovation has been. What I would personally call stifled to a certain degree is because access to this type of Hardware has become so financially competitive that a lot of uh, not VC, backed interested parties are having extremely hard times breaking into the space. They can’t get the hardware power uh to be able to back it up. There’S even like ovh emailed me this week and was like by the way we got GPU servers now heard you do video. You want some GPU servers and I was like no cuz. I know what the pricing is going to be on them y um.
If this was a few years ago, I might have been like maybe we’ll take one to experiment with, but now it’s like no, these are effectively AI servers or or AI research servers. Whatever you want to call it um, so yeah, not interested um twitch chat asked what the heck are. You eating Doritos gamer fuel, yeah, speaking of which we still owe you guys a GPU server.
Don’T we yeah? Okay, I I’ll personally build it, not that worried about it, okay, but you could do something with it uh we could play with it. Would it be cool it could be? I don’t know if we would actually hit production, though, would it transcode the W, show VOD faster yeah? I don’t want to have to spend Saturdays dealing with this anymore but like well. There was two unique issues in a row. I don’t think you’ll be spending this Saturday dealing with it.
Um bet, do you just say bet? No, I think it’ll be fine yeah, it seemed it seemed to be quite unique. No did you just unironically say bet, no, I I said it ironically. Okay, like definitely all right cool, definitely ironic. I was like who are you if you thought that I had said that unironically we would have a problem and we would actually have to have a serious conversation. This is. This is great. I just get to sit on the sidelines while things get spicy here. Sorry.
Is that like a rude thing to say, or something or like bet? No, it’s just not. He would just never say it. Oh yeah! I love doing that. I love doing that.
Oh, I’m sorry, it’s like if, if, if like you’re dad unironically said Yeet like it would just be like what you know what I mean like it’s I don’t know: um anyways, you just attacked my gen Z self. No, I the problem. Is that he’s not gen Z. That’S that’s why I was so confused yeah, but I’m I mean I’m terminally online, but I I use it all like absolutely IR.
Ironically yeah yeah yeah, yeah yeah, but that’s how it starts. I know it’s actually become a problem, it’s a real problem, I start saying things and then it just. I can’t stop yeah and I try i’ I’ve noticed that and if I find a new thing that I’m like haha, this is funny to say I will avoid it. Otherwise it’ll become part of my lexicon vernacular lexicon. No, I think, you’re right, which is it aren’t they both right, probably [, Laughter, ] told you he’s got me into it. Now, it’s kind of great it’s kind of great yeah. It’S wholesome I like uh.
What is it, what is it called metamodern where we’ve moved past, like the everything is cringe and being sincere, is gross and now everything’s just like yeah. I, like this thing and everybody’s like yeah, awesome, it’s so rare to find positivity in the world that it’s like wait, a second, that’s the new era. It’S like post cringe. You know it’s just so down with that, because we talked about this earlier in the show everything being black white and gray right, yeah, it’s the same kind of thing: it’s like no! You can’t you can’t stand out and be interesting. It’S like oh, come on. .