3 ms·
Expected return is set by risk and upside, not offering size. What do you think the risk of ruin is here? I think there is a substantial chance that Open AI won
by s1artibartfast 2y ago
Expected return is set by risk and upside, not offering size. What do you think the risk of ruin is here? I think there is a substantial chance that Open AI wont exist in 5 years.
- danielmarkbruce 2y agoThere was an implication in there on risk. If you don't believe a company doing $4 bill of revenue is significantly less risky than the average VC investment, you might be in dreamworld.
- s1artibartfast 2y agoMy understanding is that it is 4B of losses, not revenue.
- danielmarkbruce 2y agoBoth are approximately true. But, anything software has some accounting for things (like training a model) that really should be categorized as capex instead of opex and it distorts the numbers.
- s1artibartfast 2y agoMy understanding was that total revenue was an order of magnitude lower, in the multi-millions.
- danielmarkbruce 2y agoNo, it's reported to be at a run rate of $4 bill pa.