Sam Altman: Local inference is a terrible allocation of scarce global compute

morqon · x · 2026-10-30

Sam Altman pushes back on the idea that open-source models make local inference the future: idly sitting DRAM in everyone's computer, used 5% of the time, is a terrible allocation of a globally scarce resource. In a supply-constrained environment, he argues, you want maximum utilization in the cloud — and many people's intuition is exactly backwards.

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