I don't know if Ed Zitron is right about allhis analysis, but it's nice to have an alternative, well-argued narrative to the gushing torrent of AI company propaganda.
There are good sources of well-argued AI skepticism, and then there's Ed Zitron.
Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
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Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#12I don't know if Ed Zitron is right about allhis analysis, but it's nice to have an alternative, well-argued narrative to the gushing torrent of AI company propaganda.
Read a little more of what he's written before you praise him, so you don't end up looking as dumb as I did.
Ed may be right about some of his claims, but he is 100% a crank, and he makes so many incoherent claims I'd say that if he's right, it's in the nature of a broken clock.
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#13You’ll note that Mr. Zitron’s analysis is based on unfounded assertions (API prices are the ‘real costs’ of tokens, and model providers are margin negative on subscriptions) and outdated figures (OpenAI negative profit in 2025, ignoring at least Anthropic’s recent turn to profitability.)
Just more wishful thinking from our favorite AI skeptic
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#14One big difference I have with Ed Zitron is I look at companies suddenly getting worried that they're spending millions of dollars on tokens and think "wow those AI vendors are going to make SO MUCH MONEY".
The best price for a product is what I call the "suck air through your teeth" price. You want your customers to suck air through their teeth... and then pay the full amount anyway.
Uber set their per-developer token allowance to $1500 per developer per tool. That suggests to me that they think they can get at least that much ROI out of AI tooling.
Selling $1500/employee/month plans to companies is a great business to be in.
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#15I don't know if Ed Zitron is right about allhis analysis, but it's nice to have an alternative, well-argued narrative to the gushing torrent of AI company propaganda.
There are good sources of well-argued AI skepticism, and then there's Ed Zitron.
At this point I have yet to hear a solid argument against his arguments that use half as much evidence as he does.
That isn’t to say that he’s right, that’s just to say that while he gets creative in his phrasing numbers don’t lie and I haven’t seen anyone else present competing numbers that make sense.
If anyone has them to the degree with which he provides them then please, by all means, I’m interested.
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#16This bubble too will pop, and life will go on. Costs will slowly drop down, just like the dot com days, but some useful things will be come out of this.
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#17>At their very core, Large Language Models' costs run contrary to basically every model of selling software. >Consumers and enterprises alike have been trained to pay a monthly fee for a service, and while these services might have limits or strictures, basically nobody buying software expects to have a metered service, let alone one that's both metered and with hard to measure costs. Has Ed Zitron not heard about th…
Unpredictable AWS bills are a supply-side problem. He's talking about consumer behavior, and consumers of software do not expect a metered service.
But most consumer's aren't paying per token for access to models, so unless that changes and the labs start charging API pricing to everyone, it's kind of a moot point.
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#18I don't know if Ed Zitron is right about allhis analysis, but it's nice to have an alternative, well-argued narrative to the gushing torrent of AI company propaganda.
The entire internet is full of anti-AI discussion and a straight up disbelief in any chance of success.
Implying there is a "gushing torrent" of pro AI narrative is bizarrely out of touch. We both know this isn't true.
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#19I don't know if Ed Zitron is right about allhis analysis, but it's nice to have an alternative, well-argued narrative to the gushing torrent of AI company propaganda.
There are good sources of well-argued AI skepticism, and then there's Ed Zitron.
Well he's not a developer or science guy or smart at all so in his view, AI doesn't work because sometimes it makes mistakes.
Re: Apple Will 'Watch Everything Burn' When the AI Bubble Bursts
#20> While people get some sort of benefit out of AI-generated code, these tools actually end up making them slower Curious that he references a METR study from July 2025, before the leap in model and harness performance towards the end of 2025/early 2026.
Welcome to Ed Zitron. There is a reason this man doesn't heavily short the same companies he criticizes. Be wary of anyone that won't put their money where their mouth is.