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What has changed is the perception that people like OpenAI/MSFT would have an edge on the competition because of their huge datacenters full of NVDA hardware. T
by gitfan86 2y ago
What has changed is the perception that people like OpenAI/MSFT would have an edge on the competition because of their huge datacenters full of NVDA hardware. That is no longer true. People now believe that you can build very capable AI applications for far less money. So the perception is that the big guys no longer have an edge.
Tesla had already proven that to be wrong. Tesla's Hardware 3 is a 6 year old design, and it does amazingly well on less than 300 watts. And that was mostly trained on a 8k cluster.
- plaidfuji 2y agoI mean, I think they still do have an edge - ChatGPT is a great app and has strong consumer recognition already, very hard to displace.. and MSFT has a major installed base of enterprise customers who cannot readily switch cloud / productivity suite providers. So I guess they still have an edge it’s just nore of a traditional edge.
- gitfan86 2y agoYes, it is still a valid business model and I would expect MSFT to continue to make profits.
- physicsguy 2y agoMicrosoft don't have to use OpenAI though, they could swap that out underneath for the business applications.
- kavalg 2y agoand it is even questionable whether "bundling" AI in every product is legal wrt anti-competitive laws (i.e. the IE case)
- nejsjsjsbsb 2y agoThe perception only makes sense if it is "that's it, pack up your stall" for AI. I think what really happened is day to day trading noise. Nothing fundamentally changed, but traders believed other people believed it would.