Openai collects $ 40 billion
This week, Openai definitive Its fundraising round of $ 40 billion, which gives the company an valuation of $ 300 billion after money. It is the largest individual funding round that has ever been implemented by a private company. The round is led by Softbank, which undertook $ 10 billion in advance. The remaining $ 30 billion is dependent on Openai’s conversion From a completed profit to a completely profitable company.
While $ 40 billion is a significant amount of money, what is also worth noting that Openai has already publicly said it expects to lose billions in the coming years and does not project profitability until at least 2029. This shows how much faith – and risk tolerance – Investors currently have too too Artificial intelligence (AI). But it also reflects a level of market irrationality; In any other sector, a company that projects losses with several billion dollars would probably not have investor Happy to take out their checkbooks.
In addition, what makes this deal even more interesting that Softbank structures the deal with debt financing – which is still another interesting way to go with a company that has not turned a profit Yet is also not projection to make a profit for several years – and that is if everything goes according to their plans and forecasts.
Although Openai definitely celebrates this deal, I think more people should find it worrying. There is clearly a link between corporate expenses and the actual Consumer’s demand for AI products. I have said it earlier in other writing pieces, but I say it again: The user’s demand for AI does not keep up with corporate investments and expansion in AI. If something has not yet understood or embrace Use cases for AI in their daily lives. I think we will need a large-scale education campaign to bridge this gap if companies expect to see any meaningful return on their AI investments.
AI experts overestimate public use
Pew Research Center recently released a Report with the title “How the American Public and AI experts look at artificial intelligence” and for those of us who have seen this space for a while – and for those who agree with the last paragraphs about Investment trends in AI becomes worrying– The results were not surprising.
A state that jumped out of the report was that 79% of AI experts believe that the public interacts with AI several times a day, while only 27% of the public reported to do so. This again highlights the idea that AI experts tend to overestimate the public’s knowledge, comfort and use of AI.
In many cases, the average person still uses AI in relatively primitive ways and poses basic questions to a Chat As they used to with Google (Nasdaq: Googl). At the same time, the technologists who build and educate these systems are surrounded by others as them and work in an eco chamber by early adopters. The result is an oblique idea of how widely adopted and sophisticated AI use is.
Take another state from the report: While 98% of AI experts say they have used a chatbot, only 33% of the general report is in the same way – but to highlight the gap between technologists and the public.
Another important takeaway from the Pew report was the difference in anxiety between experts and the public. Public’s foremost fear is that AI will be used to abandon people. For experts are the biggest concern
error information and inaccuracy In AI-generated outputs.
However, the biggest difference in concerns will labor loss. Only 25% of experts said they were “very worried” that AI took jobs, while 56% of the public reported that they felt that way. Again, I think this is due to exposure and experience. Experts have a much better sense of what AI can and cannot do, so they know which jobs are realistic at risk and which not. At the same time, the average person is bombarded with headlines about AI eliminating millions of jobs overnight and doing Human workers redundant.
What this report reveals more than anything is that, like most technical parts, unless you use the tools or technology regularly it is difficult to separate the hype from realityAnd it can be challenging to determine what the real pulse of the people is outside the industry.
AI Overbuild? Microsoft stops the expansion of Data Center
Microsoft (Nasdaq: MSFT) have stopped or delayed negotiations For new data center developments in several locations, including Indonesia, UK, Australia, Illinois, North Dakota and Wisconsin.
Although the company did not go in detail, a spokesman offered an explanation of the boiler plate and said: “We plan that our data centers capacity needs year in advance to ensure that we have sufficient infrastructure in the right places.”
But as an observer, it is difficult not to look for deeper meaning and motive in the decision.
Some analysts, such as TD Cowen, speculate that these returns come from a misconduct between projected and actual AI demand.
“We continue to believe that the lease cancellations and capacity defends point to data centers overpay in relation to its current demand forecast,” they wrote in a new note. Others speculate in the decision come from building delays at data centers that would not have adapted to Microsoft’s launch timelines.
There is probably truth on both sides. There are probably some building delays that may have made some places impossible. But at the same time, if the demand for AI services hit the levels that companies projected just a year ago, this data centers would still be full steam forward. Scaling back gives a lot of credit to the idea that the market adjusts its expectations regarding AI.
Alibaba Groups (Nasdaq: Babaf) Joe Tsai recently mentioned that the data center boom can actually be a bubble Because new projects appear to exceed the demand for AI services. If more AI companies follow Microsoft’s management and begin to withdraw the infrastructure, it can mark a turning point for the AI industry.
In order for artificial intelligence (AI) to work properly within the law and thrive on growing challenges, it must integrate a corporate blockchain system that ensures data input quality and ownership – which makes it possible to keep data secure and at the same time guarantee data impossible. Check out COINGEEK’s coverage on this new technology to learn more Why Enterprise Blockchain will be the spine in AI.
Watch: Blockchain & Ai Unlock -Opportunities
https://www.youtube.com/watch?v=W98RJQ7JUSA Title = “Youtube video player” Framebord = “0” Allow = “Accelerometer; Autoplay; Clipboard Writing; Encrypted Media; Gyroscopes; Image-in-Image; Web-Share” Reference Policy = “Strict-Origin-When-Cross-ORIGIN” permitted Lorscreen>
