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The AI wildfire is coming. it's going to be painful and healthy

ceodinner.substack.com

31–40 of 218 posts

Re: The AI wildfire is coming. it's going to be painful and healthy

#31

I think this article is nearing the truth in the future of AI. I think the avoidance of claiming it is a bubble is a good sign, but saying it's an AI wildfire is still hyperbole. The idea that inference will drive compute demand is not what I experience because inference is a much easier problem than training. The training of an AI (LLM) is especially demanding and if and when we complete that, inference will be a pi…

And everyone but tech company is leveraged to the moon on selling shovels

Re: The AI wildfire is coming. it's going to be painful and healthy

#32
AI is the only 'technology' that nobody knows what it solves. If it is a fridge, people buy it. If its a dishwasher, people buy it. The use cases of these technologies are immediately understood. AI is pushed down hard by the 'leaders', C-suite is pushing everyone to use AI at most companies. Nobody knows what its supposed to help with but a great many people claim 'success' with AI. Every full text search that was perfectly working before got converted to AI search and is instantly 100x worse. Same with lots of customer facing FAQs, customer support, etc.

Meanwhile, 67% of my time is gone fixing autocorrect on apple devices.

Re: The AI wildfire is coming. it's going to be painful and healthy

#33

It is worse than in 2000 now. Amazon, Microsoft all had good products back then. Amazon was in fact better than it is now. "AI" hardly has any working products. Vibe coding is foisted upon companies by CEOs who want to promote their friends' products or who want to use it as an excuse for firing people or who have circular revenue agreements with other companies. This is like the housing bubble of 2008 which was base…

Amazon, Microsoft, Google all are profitable even despite their capex. Worst case scenario they stop spending on AI capex and go back to being ridiculously profitable instead of just comfortably profitable. There's no actual implosion for the big names.

Re: The AI wildfire is coming. it's going to be painful and healthy

#34
These analogies are like fitting a curve to align with the data. Let the new data come in next year, the curve changes to fit that data as well. Any data can be curve-fitted and be seen as following some pattern.

It is not that simple. You need to consider factors outside of the silicon valley, outside of USA, outside of technology business. There is lot of world out there. These analogies and predictions don't come out into the global scene to have a look at the what's going on across the globe.

The bubbles which happened earlier are not insulated phenomena that happened in silicon valley labs. It is a complex interaction between various forces.

For example, social and political norms may turn against all that is AI. Any AI-enabled service or product might be seen as serving plastic food.

Re: The AI wildfire is coming. it's going to be painful and healthy

#35

AI is the only 'technology' that nobody knows what it solves. If it is a fridge, people buy it. If its a dishwasher, people buy it. The use cases of these technologies are immediately understood. AI is pushed down hard by the 'leaders', C-suite is pushing everyone to use AI at most companies. Nobody knows what its supposed to help with but a great many people claim 'success' with AI. Every full text search that was p…

A million different people: I've used AI in X way and it helped me.

You: No one knows anything AI helps with.

Yeah, okay, if you ignore everything every user says then it is indeed a mystery.

Re: The AI wildfire is coming. it's going to be painful and healthy

#36

I think.. after reading this article twice that, if it is indeed presented accurately and if the table participants are not just trying to drive a specific agenda, is it applying the wrong metaphor. It is not a bubble. It is not a fire ( cleansing or otherwise ). It is, however, a piece of technology that is, misguidedly, plopped hard into everything without regard for what it is actually good at. This is why I despa…

> the internet as we once knew it, is effectively dead

Maybe it's simply less visible?

I have no account at any of the social media giants (except HN but I think that does not count). I mostly use the Fediverse and specialized forums. I would argue that it feels similar to the "old" internet.

Re: The AI wildfire is coming. it's going to be painful and healthy

#37
post #25

Earlier quoted context omitted.

I really don't know what this means about the state of the corporate world but companies just don't care if it's bad. Higher ups demand the feature be added but then don't care at all if it's good or even if people actually use it. This isn't that uncommon but "integrate AI somewhere I don't care where" is such an obvious manifestation of this pattern. We've put so many layers between the engineers and customers and…

Worker efficiency an order of magnitude greater than what it was 50 years ago. An office worker with excel and the internet can accomplish in an hour what would have taken days or weeks for their counterpart to do in 1975 with a calculator and a telephone. Who has gained from the efficiency? We haven't gotten more vacation days and we haven't gotten more share of the money. I think it should be natural that jobs end…

> we haven't gotten more share of the money.

But your money buys stuff that 50 years ago would have been too expensive for the richest men in the world. A pocket supercomputer, advanced diagnostics and medicine, instant access to information anywhere in the world.

Re: The AI wildfire is coming. it's going to be painful and healthy

#38
post #33

It is worse than in 2000 now. Amazon, Microsoft all had good products back then. Amazon was in fact better than it is now. "AI" hardly has any working products. Vibe coding is foisted upon companies by CEOs who want to promote their friends' products or who want to use it as an excuse for firing people or who have circular revenue agreements with other companies. This is like the housing bubble of 2008 which was base…

Amazon, Microsoft, Google all are profitable even despite their capex. Worst case scenario they stop spending on AI capex and go back to being ridiculously profitable instead of just comfortably profitable. There's no actual implosion for the big names.

I'm not saying they will cease to exist. I'm saying that the Internet bubble of 2000 had valid tech whose growth was (deliberately) overestimated.

They can write it off and move on to other things. But that is not what the new wildfire talking point says. The wildfire framing says that the underlying tech is as valuable as the tech of 2000 was.

Re: The AI wildfire is coming. it's going to be painful and healthy

#39
post #35

AI is the only 'technology' that nobody knows what it solves. If it is a fridge, people buy it. If its a dishwasher, people buy it. The use cases of these technologies are immediately understood. AI is pushed down hard by the 'leaders', C-suite is pushing everyone to use AI at most companies. Nobody knows what its supposed to help with but a great many people claim 'success' with AI. Every full text search that was p…

A million different people: I've used AI in X way and it helped me. You: No one knows anything AI helps with. Yeah, okay, if you ignore everything every user says then it is indeed a mystery.

How much astroturfing is happening online? These companies certainly have the funds to do so on a wide scale

The only thing I trust about these right now is my own experience

Re: The AI wildfire is coming. it's going to be painful and healthy

#40
If energy is indeed the limiting factor here, then maybe the companies building space-based compute (in which energy scales linearly) will remain after the wildfire.

The key is for them to build before the money runs out--I'm not sure they will have enough time.

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