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Car manufacturers, famously, have a pretty decent fraction of their revenue coming from their financing subsidiaries. > I am vetted for my ability to pay the l
by fooker 2mo ago
Car manufacturers, famously, have a pretty decent fraction of their revenue coming from their financing subsidiaries.
> I am vetted for my ability to pay the loan
Exactly!
Now see the article we are commenting on. Nvidia reduced the loan amount, presumably because they had doubts about OpenAI being able to pay it back.
The framework used to loan you money for buying a car and loaning a company billions of dollars to buy GPUs is largely the same. That's one of the accomplishments of modern economics.
Of course it can and does fail, but everything can go wrong.
- watwut 2mo ago> Car manufacturers, famously, have a pretty decent fraction of their revenue coming from their financing subsidiaries. Which is not the same thing as circular financing we are talking about here. Yes, if you abstract everything enough, everything is exactly the same as everything. But that does not mean it amounts to meaningful argument.