Earlier quoted context omitted.
It's stopped being cost-effective. Another order of magnitude of data centers? Not happening. The business question is, what if AI works about as well as it does now for the next decade or so? No worse, maybe a little better in spots. What does the industry look like? NVidia and TSMC are telling us that price/performance isn't improving through at least 2030. Hardware is not going to save us in the near term. Major i…
A difference with mid-1980s AI is the hardware is way more capable now so even flawed algorithms can do quite economically significant stuff like Claude Code etc. Recent headline "Anthropic projects as much as $26 billion in annualized revenue in 2026". With that sort of revenue you'd expect some significant spend on R&D.
Anthropic projects a lot. It's hard to get actuals from Anthropic.[1] They're privately held, so they don't have to report actuals publicly. [1] says "Anthropic has, through July 2025, made around $1.5 billion in revenue." $26 billion for 2026 seems unlikely.
This is revenue, not profit.