AI companies may spend $100 to make $1, raising sustainability doubts
GaryMarcus · x · 2026-07-29
AI companies are spending roughly $100 to make $1, according to the post, which argues the economics only look viable because some customers buy outside China, where the same product allegedly sells for two cents. The broader claim is that the business model is wildly unsustainable for equity holders and pension funds alike.
More from AGI Musings
- AI Will Not Be the Utopia We Expect, Says Pedro Domingos — pmddomingos · 2026-07-29
- OpenAI says frontier AI progress should be paced through democratic processes — morqon · 2026-07-29
- Altman: AGI Isn't One Model, But the Machinery Behind Them — haider1 · 2026-07-29
- Sam Altman says AGI is the machinery behind models, and it feels very close — haider1 · 2026-07-29
- Teach people AI in the field instead of writing open letters, a post argues — inductionheads · 2026-07-29
- RSI probably isn’t happening yet, at least not in the strong sense — CFGeek · 2026-07-29