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How tech’s defiance of economic gravity came to an abrupt end

economist.com

191–200 of 212 posts

Re: How tech’s defiance of economic gravity came to an abrupt end

#191

Earlier quoted context omitted.

> The more desserts they get more likely they are to use a thermonuclear weapon in Ukraine. I'm still confused when people assert there's any chance Putin will use a nuke in Ukraine. I'm far from an expert on Russian politics, so I imagine I'm missing something in terms of reputation or intimidation or face saving, but I always figured that Russia wanted to own/control Ukraine, since it's a fertile, resource-rich par…

> I always figured that Russia wanted to own/control Ukraine, since it's a fertile, resource-rich part of the former USSR (it's a huge grain exporter; consider all the famine warnings since the war began?) This isn’t the motivation. Putin has been saying since 2007 that NATO expansion is an existential threat to Russia. Now whether we agree with that or not is besides point. They view it that way. They warned in 2007…

Your argument applies equally to North Korea. Should we accept them invading, say, Japan (or just to make it maximally interesting, Taiwan) just because they may have nukes? (and by that I mean the effective ability to nuke at minimum Seoul by ICBM)

I'm saying "may" because while Russia clearly has the ability to make Nukes, and ICBMs, that would have required constant heavy, maintained, spending on their military that they clearly didn't do for, oh, tanks, air defense, aircraft, new aircraft designs ... At best their Nuclear arsenal is one generation ahead of what the Soviets had, whilst the West's defenses have advanced 5 generations in the same time. I get that's a gamble, but ... Nuclear weapons require constant re-enriching of the warheads fissile material, and maintaining 7000 warheads requires running tens of gigawatts of nuclear power plants without getting any electricity or heating out of them. Not to mention: you need tens of thousands of highly qualified engineers to do it. Are they doing that, not just lying about it? I mean, I get that they're hiding this, but one reason we don't hear much of it could be that it simply doesn't exist anymore. I've never once read an explanation of how this infrastructure survived the fall of the Soviet Union.

Russia is vastly overplaying their hand. We can be sure of that, given the facts.

Second, the Russian economy will die faster than the European or Ukrainian economy over time. Time is not on their side. Russia is slowly losing the ability to attack even without any war, without anyone destroying them. Europe, and European states will gain more and more ability to attack over time. I'm saying whatever their reason was to attack in 2014 and 2022, they will have more reasons to attack as time goes on. This war won't end just because we force it to, it will simply move.

And all of that is assuming we DON'T move away from fossil fuels. If by some miracle we move either transportation or heating of of fossil fuels, then Russia is done for 10 years before such a move is complete. That will definitely kill their ability to support their military. I mean what do you expect Russia to do? Attack France when ITER declares success? Because ITER, and 100 other similar efforts, also are existential threats to Russia.

Russia has "lost", the empire doesn't exist anymore, and the conflict in Ukraine, even if they 100% win, doesn't change that. If their perception is such that if they lose they will use nuclear weapons, then it's unavoidable, and the conclusion is just the opposite of what you suggest.

The correct course of action if Russia will truly will chose to go out in a nuclear "blaze of glory" or if Putin has the ability to "commit suicide by World War 3", then the only option is for NATO to attack Russia, ASAP. For the simple reason that Russia, the empire, is done for.

Re: How tech’s defiance of economic gravity came to an abrupt end

#192

Earlier quoted context omitted.

Is this a ChatGPT experiment? The comment uses a few seemingly relevant terms but almost entirely incorrectly. "System of Record" had nothing to do with being commoditized.

Perhaps we are speaking about different concepts. I was referring to the pace layered architecture.

There are also many companies making "unique" chips that are sold as COTS - it's a false dichotomy. Aside from a few initiatives like RISC-V, I'd venture to say most are proprietary.

Re: How tech’s defiance of economic gravity came to an abrupt end

#193

I'm pessimistic long term on tech, but specifically our current flavor of tech. Most of us work for companies that deliver or indirectly deliver economic value to other office workers (or promote gig economy crap that undermines worker rights - the list goes on). The current machine is a totally broken model though. We have optimized to sell software to each other thats sole purpose is to just make more money on what…

This sounds like empty moralizing. Someone somewhere should do things I think are "good" not things I think are "bad" because "we" need "good" things. And "good" things are easy to objectively identify like .

> If technology itself were like a stock portfolio (to a degree it is), what we are building is heavily skewed to junk status.

Posit a distribution, while providing no measure.

Re: How tech’s defiance of economic gravity came to an abrupt end

#194

Earlier quoted context omitted.

Is this a ChatGPT experiment? The comment uses a few seemingly relevant terms but almost entirely incorrectly. "System of Record" had nothing to do with being commoditized.

Perhaps we are speaking about different concepts. I was referring to the pace layered architecture.

Even in PACE, I don't think it means commoditization. That said, over time I've found anyone really technical pays absolutely zero attention to Gartner. With no judgement implied, they generally seem to target non-technical people who just want some jargon and product names that will help them sound like they know what they're talking about. They also get paid by the companies they are evaluating which means they'll almost never tell you about smaller players/startups who don't have the budget. HN or Reddit are probably both better for getting a read on who's actually doing innovative stuff.

Re: How tech’s defiance of economic gravity came to an abrupt end

#195

Earlier quoted context omitted.

From the way people talk on this forum about economic conditions in this country you'd imagine the unemployment rate is 10%, nobody is hiring, and the market is down 50%.

The recession talk is delusional. Every economic metric but inflation is in good shape. These people don't know what they're talking about.

Inflation means interest rates will be up, which is bad news for silicon valley and profitless startups in particular. The economy might be ok (very debatable) but if interest rates stay high and the VCs pump and dump of unprofitable unicorns on the public markets has ended...

Re: How tech’s defiance of economic gravity came to an abrupt end

#196
post #144

Earlier quoted context omitted.

Why are they in a panic over ChatGpt? Don't they have similar research and tech around these AI systems?

Something I find very curious - Google are doing the same kind of research and are in many ways futher along. They have thier own models like T5 that supposedly perform better. Are their exec unaware of their own strengths? For that matter, wasn't Google collecting masses of GIS data and doing intense self driving car research? Where is that product? Serious q - do google have so much money that they are doing tons o…

Research does not need to lead to a product to be profitable. Another strategy is to patent all of your work, then steal the profits from anyone that attempts to enter that market.

Re: How tech’s defiance of economic gravity came to an abrupt end

#197
post #176

Earlier quoted context omitted.

First try: The second largest country in South America is Argentina. It has a land area of about 2.8 million square kilometers (1.1 million square miles). Argentina is located in the southern part of South America and is bordered by Chile to the west, Bolivia and Paraguay to the north, Brazil to the northeast, Uruguay and the South Atlantic Ocean to the east, and the Drake Passage to the south. The country has a dive…

By population it’s Colombia, by land it’s Peru

How did you manage to get this wrong?

Re: How tech’s defiance of economic gravity came to an abrupt end

#198
post #86

I believe the doom-n-gloom around all of tech is rather overblown. There are sectors of tech that will absolutely struggle. Gig-economy companies won't ever meet their valuation. Negative PE ratio startups are realizing that hyper-scaling is not as infinite as they believed, and that means their earnings might never catch up to their price. Social media companies are finally facing stiff non-American competition (Tik…

Overly rosy take on big tech. I’ll use Google as example. Their execs are in full panic right now over OpenGPT. What was last major innovation at Google.. chrome? 20% of company drives profits while 80% is a decorated R&D lab chock full of benefits, upset about cutbacks in their free oatmilk lattes, even though they’re not coming to office anyway. these guys will double their attrition targets if not have full blown…

> What was last major innovation at Google.. chrome?

There’s alphago and alpha star etc. What about Waymo (splitting the company into pieces doesn’t make it a different company)? Since chrome they have made a lot of hardware too. Not to mention the dead attempts at innovation which didn’t pan out like stadia

Re: How tech’s defiance of economic gravity came to an abrupt end

#199

Earlier quoted context omitted.

My belief is that the moment rates start going down, there's going to be another massive asset bubble which will create tremendous inflationary pressure. Historically, inflation has never come down so fast or so easily anywhere. So much of inflation is about belief and psychology. If a "good times are here again" belief takes hold, it's entirely possible that inflation will run amok, again.

A significant chunk of current inflation is flat-out corporate greed. This can be seen from the fact that companies are posting record profits...while also saying "but we have to raise prices 20%, because of 7% inflation!"

> A significant chunk of current inflation is flat-out corporate greed.

This argument cannot stand until it can answer the question: why are corporations all of a sudden greedy now, and not before? If they could raise prices 20% at any time, they would. They don't, because the market won't bear it. It's nonsensical to suggest otherwise.

Pemex, the Mexican state-owned oil company, made $6B in the first quarter of 2022, but lost money every single year for more than a decade before that. Why didn't they jack up prices sooner to make a profit?

Delta Airlines lost a lot of money after Covid, and has yet to neither reach pre-pandemic profitability levels nor recoup the money lost during the pandemic. Are you saying if they were only greedier, they wouldn't be in this situation?

Even the great devil Exxon Mobil itself had ever-shrinking margins leading into 2020 before losing money for four quarters in a row before coming back into the black. Again, is your explanation that they just forgot how to be greedy for a while?

Re: How tech’s defiance of economic gravity came to an abrupt end

#200
post #117

Earlier quoted context omitted.

Is unemployment still really low? Job growth was less than it was originaly reported. By a lot. From 1M to just 10K. https://nypost.com/2022/12/22/biden-administration-overstate...

The fact that this Philadelphia FRED link keeps getting passed along indicates the people passing it along don't really understand it. What exactly is the unemployment rate if it's not ~3.7%?

The labor force participation rate, for one, still hasn't recovered to pre-pandemic levels, and has been dropping every single month since August.
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