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OpenAI raises $110B on $730B pre-money valuation

techcrunch.com

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Re: OpenAI raises $110B on $730B pre-money valuation

#31

Post by whynotminot »

qsera wrote: post #18
lnsru wrote: post #12

Earlier quoted context omitted.

It’s not craze. It’s technology shift. Bitcoin and 3D printing were craze. It’s like a move from analog photography to digital. I am telling you this as a very conservative person. Even for me it’s helpful.

So how much are you willing to pay for it?

Personally at this point my combined AI spend is the most expensive recurring monthly subscription I have, and that’s even with my company also paying for the AI tools I use at work.

If it weren’t subsidized I would pay more. Wouldn’t be happy about it but I would do it.

At this stage in the game I don’t really understand where this skepticism of the value these tools provides comes from.

Re: OpenAI raises $110B on $730B pre-money valuation

#32

Post by dgrin91 »

vimda wrote: post #14

Kind of leaving out a lot of detail there: - Amazon's $50B is only $15B, with the rest being "after certain conditions are met", whatever that means (probably an IPO, which isn't happening) - The $30B each from softbank and NVIDIA is paid in installments So this is more a $35B fundraise, with a _promise_ of more, maybe, if conditions are met. Not _bad_, but yet more gaslighting from Mr Altman. Anyone reporting this a…

This is pretty standard. Usually the conditions are performance benchmarks, but may also include IPO. Typically its done in multiple tranches, e.g. 15B at the start, 5 more if you gain +500m users, 5 more if your profit exceeds X, and the rest for IPO (im over simplifying)

Re: OpenAI raises $110B on $730B pre-money valuation

#35

Post by rob74 »

lnsru wrote: post #12
gigatexal wrote: post #2

[flagged]

It’s not craze. It’s technology shift. Bitcoin and 3D printing were craze. It’s like a move from analog photography to digital. I am telling you this as a very conservative person. Even for me it’s helpful.

3D printing is helpful too. The infrastructure created during the dot-com bubble of the late 1990s was also helpful. The UK is still profiting from the railway infrastructure created during the railway craze of the 1840s (https://en.wikipedia.org/wiki/Railway_Mania). The question is just how much of the valuation of AI companies is because they are useful and how much is speculation...

Re: OpenAI raises $110B on $730B pre-money valuation

#36

Post by nalekberov »

lnsru wrote: post #12
gigatexal wrote: post #2

[flagged]

It’s not craze. It’s technology shift. Bitcoin and 3D printing were craze. It’s like a move from analog photography to digital. I am telling you this as a very conservative person. Even for me it’s helpful.

> Bitcoin and 3D printing were craze.

What bitcoin gave us essentially? Huge pump and dump schemes coordinated by big hands? Crypto investments which made 95% of investors poorer? What's left? Maybe 0.01% of it was beneficial.

Re: OpenAI raises $110B on $730B pre-money valuation

#38

Post by arctic-true »

vimda wrote: post #14

Kind of leaving out a lot of detail there: - Amazon's $50B is only $15B, with the rest being "after certain conditions are met", whatever that means (probably an IPO, which isn't happening) - The $30B each from softbank and NVIDIA is paid in installments So this is more a $35B fundraise, with a _promise_ of more, maybe, if conditions are met. Not _bad_, but yet more gaslighting from Mr Altman. Anyone reporting this a…

The conditions are either an IPO or achieving AGI. I’d be curious to know how the contract defines AGI. If I recall correctly, the OAI-Microsoft deal just defined it as “AI-shaped tech that can generate $100 billion in annual profits”, which I think is actually close to the correct answer, insofar as we will have AGI when the markets decide we have AGI and not when some set of philosophical criteria seem to be satisfied.

Re: OpenAI raises $110B on $730B pre-money valuation

#39

Post by viking123 »

qsera wrote: post #18
lnsru wrote: post #12

Earlier quoted context omitted.

It’s not craze. It’s technology shift. Bitcoin and 3D printing were craze. It’s like a move from analog photography to digital. I am telling you this as a very conservative person. Even for me it’s helpful.

So how much are you willing to pay for it?

20 bucks a month

Re: OpenAI raises $110B on $730B pre-money valuation

#40

Post by coredog64 »

tosh wrote: post #10
illnewsthat wrote: post #4

This should probably change to https://openai.com/index/scaling-ai-for-everyone/ which has more details. > Today we’re announcing $110B in new investment at a $730B pre-money valuation. This includes $30B from SoftBank, $30B from NVIDIA, and $50B from Amazon.

The tweet storm has a bit more substance e.g. it talks about running NVIDIA's systems (?) on AWS > NVIDIA has long been one of our most important partners, and their chips are the foundation of AI computing. We are grateful for their continued trust in us, and excited to run their systems in AWS. Their upcoming generations should be great.

Probably something like NVLink Fusion. AWS has been doing deals with suppliers for which the smallest unit of deployable compute is a 44U rack (e.g. Oracle), so this is more of the same.

https://www.nvidia.com/en-us/data-center/nvlink-fusion/

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