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Is it a bubble?

oaktreecapital.com

51–60 of 605 posts

Re: Is it a bubble?

#51

"Coding performed by AI is at a world-class level". Once I hit that line, I stopped reading. This tells me this person didn't do proper research on this matter.

I recently had ChatGPT refactor an entire mathematical graph rendering logic that I wrote in vanilla js, and had it rewrite it as GLSL. It took about an hour overall (required a few prompts). That is world-class level in my opinion.

Re: Is it a bubble?

#52
post #34

He thinks "AI" "may be capable of taking over cognition", which shows he doesn't understand how LLM work...

Why is AI limited to just a raw LLM. Scaffolding, RL, multi-modal... so many techniques which can be applied. METR has shown AI's time horizon for staying on task is doubling every 7 months or less.

https://metr.org/blog/2025-07-14-how-does-time-horizon-vary-...

Re: Is it a bubble?

#53

Why is so much invested in AI but not in fusion power?

Probably because AI appears to work, more or less, and now it's just a race to make it better and to monetize it.

Before ChatGPT, I'd guess that the amounts of money poured in both of these things were about the same.

Re: Is it a bubble?

#54
Impressive that you have have that many assets under management and still not show a clear understanding of an industry you're prognosticating on. The author doesn't talk at all about the hardware aspect of this stuff such as the surprisingly short lifetime of the GPUs that are being rolled out at a break-neck pace. The recommendation that you take a moderate investment position and not overdo it could be shared without as much needless thinking out loud, and doesn't bring anything new to the conversation. Kind of like every other AI offering out there, if you think about it -- participating in something you don't understand because of FOMO.

Re: Is it a bubble?

#55

> In many advanced software teams, developers no longer write the code; they type in what they want, and AI systems generate the code for them. What a wild and speculative claim. Is there any source for this information?

At $WORK, we have a bot that integrates with Slack that sets up minor PRs. Adjusting tf, updating endpoints, adding simple handlers. It does pretty well. Also in a case of just prose to code, Claude wrote up a concurrent data migration utility in Go. When I reviewed it, it wasn't managing goroutines or waitgroups well, and the whole thing was a buggy mess and could not be gracefully killed. I would have written it fa…

> it wasn't managing goroutines or waitgroups well, and the whole thing was a buggy mess and could not be gracefully killed

First pass on a greenfield project is often like that, for humans too I suppose. Once the MVP is up, refactor with Opus ultrathink to look for areas of weakness and improvement usually tightens things up.

Then as you pointed out, once you have solid scaffolding, examples, etc, things keep improving. I feel like Claude has a pretty strong bias for following existing patterns in the project.

Re: Is it a bubble?

#56

> In many advanced software teams, developers no longer write the code; they type in what they want, and AI systems generate the code for them. What a wild and speculative claim. Is there any source for this information?

The line right after this is much worse: > Coding performed by AI is at a world-class level, something that wasn’t so just a year ago. Wow, finance people certainly don't understand programming.

World class? Then what am I? I frequently work with Copilot and Claude Sonnet, and it can be useful, but trusting it to write code for anything moderately complicated is a bad idea. I am impressed by its ability to generate and analyse code, but its code almost never works the first time, unless it's trivial boilerplate stuff, and its analysis is wrong half the time.

It's very useful if you have the knowledge and experience to tell when it's wrong. That is the absolutely vital skill to work with these systems. In the right circumstances, they can work miracles in a very short time. But if they're wrong, they can easily waste hours or more following the wrong track.

It's fast, it's very well-read, and it's sometimes correct. That's my analysis of it.

Re: Is it a bubble?

#57
post #18

Earlier quoted context omitted.

AI writes most of the code for most new YC companies, as of this year.

I think this is is less significant b/c 1. Most of these companies are AI companies & would want to say that to promote whatever tool they're building 2. Selection b/c YC is looking to fund companies embracing AI 3. Building a greenfield project with AI to the quality of what you need to be a YC-backed company isn't particularly "world-class"

They’re not lying when they say they have AI write their code, so it’s not just promotion. They will thrive or die from this thesis. If present YC portfolio companies underperform the market in 5-10 years, that’s a strong signal for AI skeptics. If they overperform, that’s a strong signal that AI skeptics were wrong.

3. You are absolutely right. New startups have greenfield projects that are in-distribution for AI. This gives them faster iteration speed. This means new companies have a structural advantage over older companies, and I expect them to grow faster than tech startups that don’t do this.

Plenty of legacy codebases will stick around, for the same reasons they always do: once you’ve solved a problem, the worst thing you can do is rewrite your solution to a new architecture with a better devex. My prediction: if you want to keep the code writing and office culture of the 2010s, get a job internally at cloud computing companies (AWS, GCP, etc). High reliability systems have less to gain from iteration speed. That’s why airlines and banks maintain their mainframes.

Re: Is it a bubble?

#58

The post script was pretty sobering. It's kind of the first time in my life that I've been actively hoping for a technology to out right not deliver on its promise. This is a pretty depressing place to be, because most emerging technologies provide us with exciting new possibilities whereas this technology seems only exciting for management stressed about payroll. It's true that the technology currently works as an e…

> It's kind of the first time in my life that I've been actively hoping for a technology to out right not deliver on its promise.

Same here, and I think it's because I feel like a craftsman. I thoroughly enjoy the process of thinking deeply about what I will build, breaking down the work into related chunks, and of course writing the code itself. It's like magic when it all comes together. Sometimes I can't even believe I get to do it!

I've spent over a decade learning an elegant language that allows me to instruct a computer—and the computer does exactly what I tell it. It's a miracle! I don't want to abandon this language. I don't want to describe things to the computer in English, then stare at a spinner for three minutes while the computer tries to churn out code.

I never knew there was an entire subclass of people in my field who don't want to write code.

I want to write code.

Re: Is it a bubble?

#59

> In many advanced software teams, developers no longer write the code; they type in what they want, and AI systems generate the code for them. What a wild and speculative claim. Is there any source for this information?

[deleted]

Re: Is it a bubble?

#60
post #49

Earlier quoted context omitted.

>I only write around 5% of the code I ship, maybe less. >I do thoroughly audit all the code that AI writes, and often go through multiple iterations Does this actually save you time versus writing most of the code yourself? In general, it's a lot harder to read and grok code than to write it [0, 1, 2, 3]. For me, one of the biggest skills for using AI to efficiently write code is a) chunking the task into increments…

Yes, I save an incredible amount of time. I suspect I’m likely 5-10x more productive, though it depends exactly what I’m working on. Most of the issues that you cite can be solved, though it requires you to rewire the programming part of your brain to work with this new paradigm. To be honest, I don’t really have a problem with chunking my tasks. The reason I don’t is because I don’t really think about it that way. I…

> Yes, I save an incredible amount of time. I suspect I’m likely 5-10x more productive

The METR paper demonstrated that you are not a reliable narrator for this. Have you participated in a study where this was measured, or are you just going off intuition? Because METR demonstrated beyond doubt that your intuition is a liar in this case.

If you're not taking measurements it is more likely that you are falling victim to a number of psychological effects (sunk cost, Gell-Manns, slot machine effect) than it is that your productivity has really improved.

Have you received a 5-10x pay increase? If your productivity is now 10x mine (I don't use these tools at work because they are a waste of time in my experience) then why aren't you compensated as such and if it's because of pointy haired bosses, you should be able to start a new company with your 10x productivity to shut him and me up.

Provide links to your evidence in the replies

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