That wasn't the conclusion of the article (I'm assuming you're reacting to the headline and haven't read the article).
The author's prediction is that OpenAI will get bought.
I know it sounds kind of crazy, but there actually is precedent for that: Reid Hoffman sold his AI startup after he realized there was no possible way for an AI startup to compete with the Googles of the world with $100B in cash and giant free cash flow machines given how capital intensive it is to build AI.[1]
To me, it's not that outlandish to think that if OpenAI really does need to spend a ton of money to survive, they will probably have to either raise or get bought (or find that magic money tree by monetizing their business). Because right now, they don't have the cash flow to compete with Google.
Could obviously change, but I think that's where the author is coming from.
Comments
That wasn't the conclusion of the article (I'm assuming you're reacting to the headline and haven't read the article).
The author's prediction is that OpenAI will get bought.
I know it sounds kind of crazy, but there actually is precedent for that: Reid Hoffman sold his AI startup after he realized there was no possible way for an AI startup to compete with the Googles of the world with $100B in cash and giant free cash flow machines given how capital intensive it is to build AI.[1]
To me, it's not that outlandish to think that if OpenAI really does need to spend a ton of money to survive, they will probably have to either raise or get bought (or find that magic money tree by monetizing their business). Because right now, they don't have the cash flow to compete with Google.
Could obviously change, but I think that's where the author is coming from.
[1]https://www.eesel.ai/blog/inflection-ai