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TLDW:
- China is good at compressing the existing models by stealing the answers they give you to make models that have equivalent performance that are way cheaper (plagiarism)
- shares a bunch of clips of Ed Zitron repeating a lot of the things he said over the last six months about there not being a path to profitability for American AI companies
- the bond market looks similar to how it did back before 2008
It’s worth noting that the whole China is distilling our glorious models narrative is largely nonsense. First of all, everybody distills, so it’s not like it’s unique to Chinese companies. Second, most of actual research that’s published is now coming out of China.
Making a new cheaper model involves nothing more than taking output from an openathropic model and feeding it into your own. Don’t worry about why only Chinese companies are able to do it.
Obviously people like Scam Altman are just too principled to stoop to the level of these savage Chinese companies.
Do it. I’m done with all the bullshit.
The sooner it happens, the less damage there will be.
“They don’t have anything for hypergrowth anymore. They don’t have the next iphone, the next google search, they don’t have anything, they’re completely out of ideas” - Ed Zitron
When someone watch it , pls share how china is going to pop the bubble
TLDW: American companies spend insane amounts of money and have no path towards profitability, and Chinese companies are spending a tiny fraction of that to deliver a product that’s mostly as good. On top of that, countries and companies are uncomfortable relying on closed models. So, Chinese providers offering open models at far lower rates mean they’re quickly taking over the market. And it turns out that simply having the best model isn’t really the most important thing. If a cheaper model can do the work then there’s no point paying order of magnitude for a more capable one.
