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Anthropic raises $13B Series F

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Re: Anthropic raises $13B Series F

#261
post #208

Earlier quoted context omitted.

> Anecdotally moving from model to model I'm not seeing huge changes in many use cases. Probably because you're doing things that are hitting mostly the "well-established" behaviors of these models — the ones that have been stable for at least a full model-generation now, that the AI bigcorps are currently happy keeping stable (since they achieved 100% on some previous benchmark for those behaviors, and changing them…

You have just described a singularity point for this line of business. Which could happen. Or not.

I wouldn't describe it as a singularity point. I don't mean that they'll get models to design better model architectures, or come up with feature improvements for the inference/training host frameworks, etc.

Instead, I mean that these later-generation models will be able to be fine-tuned to do things like e.g. recognizing and discretizing "feature circuits" out of the larger model NN into algorithms, such that humans can then simplify these algorithms (representing the fuzzy / incomplete understanding a model learned of a regular digital-logic algorithm) into regular code; expose this code as primitives/intrinsics the inference kernel has access to (e.g. by having output vectors where every odd position represents a primitive operation to be applied before the next attention pass, and every even position represents a parameter for the preceding operation to take); cut out the original circuits recognized by the discretization model, substituting simple layer passthrough with calls to these operations; continue training from there, to collect new, higher-level circuits that use these operations; extract + burn in + reference those; and so on; and then, after some amount of this, go back and re-train the model from the beginning with all these gained operations already being available from the start, "for effect."

Note that human ingenuity is still required at several places in this loop; you can't make a model do this kind of recursive accelerator derivation to itself without any cross-checking, and still expect to get a good result out the other end. (You could, if you could take the accumulated intuition and experience of an ISA designer that guides them to pick the set of CISC instructions to actually increase FLOPS-per-watt rather than just "pushing food around on the plate" — but long explanations or arguments about ISA design, aren't the type of thing that makes it onto the public Internet; and even if they did, there just aren't enough ISAs that have ever been designed for a brute-force learner like an LLM to actually learn any lessons from such discussions. You'd need a type of agent that can make good inferences from far less training data — which is, for now, a human.)

Re: Anthropic raises $13B Series F

#262

The compute moat is getting absolutely insane. We're basically at the point where you need a small country's GDP just to stay in the game for one more generation of models. What gets me is that this isn't even a software moat anymore - it's literally just whoever can get their hands on enough GPUs and power infrastructure. TSMC and the power companies are the real kingmakers here. You can have all the talent in the w…

Instead of enriching uranium we're enriching weights!

Re: Anthropic raises $13B Series F

#263

Earlier quoted context omitted.

We do seem to be hitting the top of the curve of diminishing returns. Forget AGI - they need a performance breakthrough in order to stop shoveling money into this cash furnace.

According to Dario, each model line has generally been profitable: i.e. $200MM to train a model that makes $1B in profit over its lifetime. But, since each model has been more and more expensive to train, they keep needing to raise more money to train the next generation of model, and the company balance sheet looks negative: i.e. they spent more this year than last (since the training cost for model N+1 is higher),…

> if I give you $15B, you will probably make a lot more than $15B with it

"probably" is the key word here, this feels like a ponzi scheme to me. What happens when the next model isn't a big enough jump over the last one to repay the investment?

It seems like this already happened with GPT-5. They've hit a wall, so how can they be confident enough to invest ever more money into this?

Re: Anthropic raises $13B Series F

#264

Earlier quoted context omitted.

comparisons with internet age very much resonate - dark compute will be as dark fiber was

For me that brings up two questions: 1) Will I (and others) be able to get a H100 (or similar) when the bubble pops, and would that lead to new innovations from the GPU poor? 2) Will China take the lead in AI as they are less "capitalistic" with the demands for outsized returns on their investment compared to US companies, and they may be more willing to continue to sink money into AI despite possible market returns?

[deleted]

Re: Anthropic raises $13B Series F

#265
AI investment is headed toward 2% of the US GDP, getting close to the Apollo program and 10 times the manhattan project. Almost 15% of the US stock market is tied up in these investments so most of us have skin in this game whether we like it or not, for better or worse.

Re: Anthropic raises $13B Series F

#266
post #9

I feel like the money itself makes less and less sense these days. It's just numbers that are becoming increasingly detached from the real world

comparisons with internet age very much resonate - dark compute will be as dark fiber was

You can take decades old fibre, stick some new transceivers on the ends, and have it run at the very latest speeds (unless it's cheap, damaged, etc) without having to pull it out and reinstall it.

H100s will not age this well. It's not like owning old railroad tracks, it's like owning a fleet of 1992 Ford Taurus's. They'll be quickly obsolete and uneconomical in just a few years as semiconductor manufacturing continues to improve.

Re: Anthropic raises $13B Series F

#267

The compute moat is getting absolutely insane. We're basically at the point where you need a small country's GDP just to stay in the game for one more generation of models. What gets me is that this isn't even a software moat anymore - it's literally just whoever can get their hands on enough GPUs and power infrastructure. TSMC and the power companies are the real kingmakers here. You can have all the talent in the w…

The wildest part is that the frontier models have a lifespan of 6 months or so. I don't see how it's sustainable to keep throwing this kind of money at training new models that will be obsolete in the blink of an eye. Unless you believe that AGI is truly just a few model generations away and once achieved it's game over for everyone but the winner. I don't.

They are only getting deprecated this fast because the cost of training is in some sense sustainable. Once it is not, then they will no longer be deprecated so fast.

Re: Anthropic raises $13B Series F

#268

Earlier quoted context omitted.

No that's what PRINTING fiat money does. Low or high interest rates, they print $trillions

Who's "they"?

Governments, CBs and investment banks. "They" do it and work together to print more.

Re: Anthropic raises $13B Series F

#269

Earlier quoted context omitted.

No that's what low interest rates does

No that's what PRINTING fiat money does. Low or high interest rates, they print $trillions

Every dollar that's printed gets multiplied based on the interest rate

Re: Anthropic raises $13B Series F

#270
post #167

Earlier quoted context omitted.

>"Every round Anthropic raises twists the knife deeper in SBF. If only he could have survived the downturn his Antropic investment alone probably could have papered over the other loses." Things working out in the end doesn't make what he did not a crime at the time. He was a common paper hanger, albeit with billions instead.

> Things working out in the end doesn't make what he did not a crime at the time Morally speaking, no. Practically speaking, it does. He would not have seen jail time.

>Morally speaking, no. Practically speaking, it does. He would not have seen jail time.

It's literally exactly what Shkreli got 7 years for, even after repaying investors. If you defraud money from someone and put it back before they find out, it's still a crime. Fraud is about intent more than anything else, and they proved it for SBF.

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