Is AI making money at all? #
Recently I came across a very detailed series of articles1 which, based on a lot of publicly available financial information, concluded that AI simply isn’t making money. Not only that, it actually has significant costs and investments involved, don’t forget about regular hardware upgrades. The author even accuses OpenAI and Nvidia of deliberately misleading the public by cooking the books.
None of the AI companies are profitable #
Let’s start with the AI companies like OpenAI, none of them are profitable, none. Contrary to what we’re used to from googling, every AI query is quite resource intensive, if there will ever be a point where it’ll become profitable at all is still unclear.
None of the AI customers report impressive numbers #
Let’s move on to the AI customers. Many or perhaps most managers are forcing AI because they believe that it will save employee costs, for example in the support sector. But from what I know the big revolution didn’t happen. Wouldn’t those managers not gladly share data to prove how many costs they saved with AI?
Would you use AI for serious tasks and decisons? #
So far the AI revolution has yet to materialize. The most I’ve heard is AI as a replacement junior developer who is writing boilerplate code and unit tests quite well, but is fundamentally untrustworthy for serious tasks. Would you let AI do serious tasks for you? Would you let your managers consult AI for serious decisions? Personally I wouldn’t.