4 ms·
In AI, the 41% Depends on the -59%
- 1vuio0pswjnm7 2mo agohttps://www.apollo.com/content/dam/apolloaem/pdf/daily-spark/2026/aug/7/dailyspark-2026-08-07.pdf https://www.apollo.com/content/dam/apolloaem/pdf/daily-spark...
- deleted 2mo ago[deleted]
- lostnfound8778 2mo agoCurrently, the snake is happily devouring its tail... question is how many vertebrae left until the head?
- toomuchtodo 2mo agoRelated: AI's profits are 'being funded by investors rather than earned from customers - https://news.ycombinator.com/item?id=49243628 https://news.ycombinator.com/item?id=49243628 - August 2026
- godshatter 2mo agoSam Altman and the rest, still riding the tiger.
- tcp_handshaker 2mo agoLook! The people who jump in saying how much Ed Zitron is wrong are avoiding this thread....
- RigelKentaurus 2mo agoI'm not sure I follow this argument. >>But that is not the case for AI. In AI, profit margins are higher the further you get from the end user, see chart below. This doesn't necessarily mean that the following is true: >>This is important because it means the AI boom's profits are currently being funded by investors rather than earned from customers. I think that AI is adding value to customers who are paying for it, but the value is going mainly to the frontier labs and hyperscalers since they, and not applications, are doing the main burden.
- gruez 2mo ago[dead]
- bigbadfeline 2mo ago> AI is adding value to customers who are paying for it, That doesn't change the fact that "the AI boom's profits are currently being funded by investors" > but the value is going mainly to the frontier labs and hyperscalers since they, and not applications, are doing the main burden. It's pretty clear that "the AI boom's profits" refers precisely to the profits of these entities - which are being funded by investors. The customers aren't paying the full price, it's a subsidized affair, where the burden is doesn't matter in the slightest.
- 1vuio0pswjnm7 2mo agoIt's not an argument. It's a statement of fact Based on the data represented in the chart
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- BlackGlory 2mo agoTrickle-down economics irl