Plus: SpaceX acquires Cursor; GLM-5.2; DeepSeek raises $7.4B at a $50B+ valuation; Waymo recalls 4,000 cars; Midjourney pivots; a new CRISPR technique targeting cancer cells; and more!
This is an interesting and well-developed article. I agree that today's AI economics are heavily subsidized and that current pricing models may not survive unchanged.
What I am less convinced by is the assumption that present economics determine future viability. Amazon lost money for years. Uber lost money for years. Entire industries often look uneconomic while infrastructure is being built.
The question is not whether OpenAI is losing money today. It obviously is. The question is whether today's losses are evidence of a broken business model or simply the cost of building something whose economics we do not yet understand.
This is an interesting and well-developed article. I agree that today's AI economics are heavily subsidized and that current pricing models may not survive unchanged.
What I am less convinced by is the assumption that present economics determine future viability. Amazon lost money for years. Uber lost money for years. Entire industries often look uneconomic while infrastructure is being built.
The question is not whether OpenAI is losing money today. It obviously is. The question is whether today's losses are evidence of a broken business model or simply the cost of building something whose economics we do not yet understand.