OpenAI was founded a non-profit to benefit humanity. Why does the "race" matter?
OpenAI is for-profit: https://www.theguardian.com/technology/2025/oct/28/openai-fo...
OpenAI declares 'code red' as Google catches up in AI race
291–300 of 960 posts
Re: OpenAI declares 'code red' as Google catches up in AI race
#292Earlier quoted context omitted.
> with no means of significant revenue generation. OpenAI will top $20 billion in ARR this year, which certainly seems like significant revenue generation. [1] [1] https://www.cnbc.com/2025/11/06/sam-altman-says-openai-will-...
I can generate $20 billion in ARR this year too! I just need you to give me $100 billion and allow me to sell each of your dollars for 0.2 dollars.
very clever! I hadn't seen anybody make this point before in any of these threads /s
obviously the nature of OpenAIs revenue is very different than selling $1 for $0.2 because their customers are buying an actual service, not anything with resale value or obviously fungible for $
Re: OpenAI declares 'code red' as Google catches up in AI race
#293I think most people are aligned on AI being in a bubble right now with the disagreement being over which companies (if any) will weather the storm through the burst and come out profitable on the far side.
OpenAI, imo, is absolutely going to crash and burn - it has absolutely underwhelming revenue and model performance compared to others and has made astronomical expenditure commitments. It's very possible that a government bailout partially covers those debts but the chance of the company surviving the burst when it has dug such a deep hole seems slim to none.
I am genuinely surprised that generally fiscally conservative and grounded people like Jensen are still accepting any of that crash risk.
Re: OpenAI declares 'code red' as Google catches up in AI race
#294I think most people are aligned on AI being in a bubble right now with the disagreement being over which companies (if any) will weather the storm through the burst and come out profitable on the far side. OpenAI, imo, is absolutely going to crash and burn - it has absolutely underwhelming revenue and model performance compared to others and has made astronomical expenditure commitments. It's very possible that a gov…
Jensen cashed out on a billion dollars. Why would he even care anymore at this point?
Re: OpenAI declares 'code red' as Google catches up in AI race
#295Earlier quoted context omitted.
> with no means of significant revenue generation. OpenAI will top $20 billion in ARR this year, which certainly seems like significant revenue generation. [1] [1] https://www.cnbc.com/2025/11/06/sam-altman-says-openai-will-...
I can generate $20 billion in ARR this year too! I just need you to give me $100 billion and allow me to sell each of your dollars for 0.2 dollars.
Can you? What are you selling? Who are you and why should I believe in you? What would I get in return?
Re: OpenAI declares 'code red' as Google catches up in AI race
#296There will be a daily call for those tasked with improving the chatbot, the memo said, and Altman encouraged temporary team transfers to speed up development. Truly brilliant software development management going on here. Daily update meetings and temporary staff transfers. Well known strategies for increasing velocity!
What if they make 2 daily calls, that would surely improve the velocity by 2 times!
Re: OpenAI declares 'code red' as Google catches up in AI race
#297The fate of OpenAI is effectively sealed - it will go bankrupt and the scraps will get absorbed by Microsoft, for further enshitification. Not necessarily the "end" of AI, but enjoy your account while it's useful. The problem is, there is a whole ecosystem of businesses operating as OpenAI API wrappers, and those are gonna get screeeeewed.
They will just have to change of LLM provider.
Re: OpenAI declares 'code red' as Google catches up in AI race
#298Heard all the news how Gemini 3 is passing everyone on benchmarks, so quickly tested and still find it a far cry from ChatGPT in real world use when testing questions on both platforms. But importantly the ChatGPT app experience at least for iPhone/Mac users is drastically superior vs Google which feels very Google still. So Gemini would have to be drastically better answer wise than ChatGPT to lure users from a bett…
I've been a paying high volume user of ChatGPT for a while. I found the transition to Gemini to be seamless. I've been pleasantly surprised. I bounce between the two. I'm at about 60% Gemini, 40% ChatGPT.
Re: OpenAI declares 'code red' as Google catches up in AI race
#299Earlier quoted context omitted.
Maybe? But you could have written this same thing in 1999 with OpenAI and Google replaced by Google and Yahoo, respectively.
And Google had profits - not just revenue - early on and wasn’t setting $10 on fire to have a $1 in revenue.
Well maybe not in 1999. Adwords didn't launch until 2000? Google's 1999 revenue was...... I forget, but it was incredibly small. Costs were also incredibly small too though, so this isn't a good analogy given the stated year of 1999.
Re: OpenAI declares 'code red' as Google catches up in AI race
#300WSJ: Altman said OpenAI would be pushing back work on other initiatives, such as advertising, AI agents for health and shopping, and a personal assistant called Pulse. These plus working with Jony Ive on hardware, makes it sound like they took their eyes off the ball.
I don't think this is about Google. This is about advertising being the make or break moment for OpenAI. The problem with ChatGPT advertising is that it's truly a "bet the farm" situation, unlike any of their projects in the past: - If it works and prints money like it should, then OpenAI is on a path to become the next Mag 7 company. All the money they raised makes sense. - If it fails to earn the expected revenue n…
> - If it works and prints money like it should, then OpenAI is on a path to become the next Mag 7 company. All the money they raised makes sense.
Makes sense for whom? Certainly not the users. The entire purpose of ads is to change your behavior in ways that benefit someone else. In ad-based search, ads are at least visually separable (and blockable) but in a conversational AI they are indistinguishable and corrupt the entire trust relationship. When your chat "assistant" has a financial incentive to steer you toward certain products or answers every response becomes suspect. The users are no longer getting the best answer but the most profitable one as we witnessed this happen in search over last 2 decades. Not a way to build a long lasting business.