Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Google plans to invest up to $40B in Anthropic

bloomberg.com

Post reply on HN
Print view View original

821–830 of 868 posts

Re: Google plans to invest up to $40B in Anthropic

#821

Post by senordevnyc »

iLoveOncall wrote: post #304
sisve wrote: post #136

Earlier quoted context omitted.

As far as I understand run rate revenue is just a fancy way of saying that "the last month we had sales, and if that continues for a year we will have a AAR of 30B. meaning it's not 30B yet, but the sales numbers indicates that we get there by continue selling at the current speed. But to have revenue of $100 and get $30B in ARR I guess the period looked at needs to be seconds.... (Run Rate = Revenue in Period / # of…

Not even that. It's not based on actual sales in, for example, the past month. It's based on an expected continuous growth based on the growth of the past month (or whatever period you pick). It's a forecast.

I have never heard of SaaS companies reporting ARR like this.

Re: Google plans to invest up to $40B in Anthropic

#822

Post by SlinkyOnStairs »

fc417fc802 wrote: post #792
SlinkyOnStairs wrote: post #581

Earlier quoted context omitted.

It won't get that far. It's physically impossible to build out the datacenters required for the "AI is actually good and we have mass layoffs" scenario. This Anthropic investment is spurred on because they've already hit a brick wall with capacity. $40B goes a long way, but not for datacenters where nearly every single component and service is now backordered. Even if you could build the DC, the power connection won'…

Doesn't that just draw out the AI revolution by a few years? I don't see why it would stop anything though. Imagine a scenario where someone claimed that it was physically impossible to replace all the buggies with automobiles because everything was backordered and there were labor shortages. Surely the replacement still happens eventually though?

A drawn out long change simply doesn't have the major societal upset that imminent mass-unemployment has.

With how much scale AI datacenters want and how the Trump administration has made supply problems significantly worse, we'd be talking decades, plural.

Re: Google plans to invest up to $40B in Anthropic

#823

Post by rjlouv »

an0malous wrote: post #153
tiffanyh wrote: post #116

Earlier quoted context omitted.

That’s what’s needed when you go from $9B in ARR … to $30B in ARR literally just one quarter later . That kind of insane growth & demand is unprecedented at that scale. https://www.anthropic.com/news/google-broadcom-partnership-c...

What is all this AI doing? People are spending 10’s to 100’s of billions and no service or technology seems better or cheaper. Everything is more expensive and worse.

Real-world counter-anecdote from mid-market finance (sub-$500M revenue, 2-3k employees). On a customer's JD Edwards data, a playbook run via MCP returns AP aging by company plus the three vendors driving the variance plus the prior-month delta plus citations to the JDE F0411 rows in roughly 30 seconds. The same in Excel takes ~45 minutes. That's not 100x, it's not transformative, and it's not autonomous. It's one analyst hour reclaimed per query. Multiply by ~80 queries a month and a $50/hour fully loaded cost and the math is mundane and positive. Value is real and unsexy. The marketing has compressed all the unsexy ROI into the same sentence as the trillion-dollar promises. (Disclosure: I co-founded eyko, the platform doing this.)

Re: Google plans to invest up to $40B in Anthropic

#824

Post by mullingitover »

aenis wrote: post #764
MrDarcy wrote: post #380

Earlier quoted context omitted.

The CTO/VP of engineering role down is now singularly focused on keeping agents fed with a backlog of Linear issues. This is the new normal.

As a CTO I can say that this is not my experience. My experience these days is fighting corporate bureaucracy and inertia to make sure we reap the benefits of faster coding. Feeding agents with work is not a problem. Building teams that use those tools effectively is the problem. (Say, shall we merge product and engineering teams? Do we start getting rid of people who refuse to use AI? What do we do with pentests? Ho…

> Do we start getting rid of people who refuse to use AI?

I don't even think the bigger companies are going to waste time on figuring out how to retrain, they're just going to do industrial scale layoffs and then rebuild from the ground up with people who won't get past interviews without demonstrating hard skills in this area.

There is a shocking gap growing right now, it's a Wile E. Coyote not realizing he already walked off the cliff type of situation for a lot of people.

Re: Google plans to invest up to $40B in Anthropic

#825

Post by eieie »

aenis wrote: post #759
eieie wrote: post #463

Earlier quoted context omitted.

Let’s take an extreme example. Meta seemingly has a constant stream of product managers. If llm’s really augment the productivity of engineers, why isn’t meta launching lots more stuff? I mean there’s no harm in at least launching one new thing. What are all those people doing with the so called productivity enhancements? What I’m calling into question is how much does generating more code matter if the bottle neck i…

In a word, bottlenecks moved. What I see in my backyard: coding now takes significantly less time, but its just coding. Before one gets to building there are squabbles between business and product people. Testing takes just as much as it used to. Since nice to haves are easy to add and product people begin to take it for granted, the product cycles don't get shorter. Give it time. Right now its just coding, but proce…

Absolute delusion.

The best people can not only envision products but also possess great judgement without needing data. For AI to even come close it would need an insane amount of data that is nuanced and subtle - by the the time the AI has obtained all the necessary data and made sense of it the human is long gone working on something else.

Re: Google plans to invest up to $40B in Anthropic

#826

Post by eieie »

bushbaba wrote: post #502
eieie wrote: post #463

Earlier quoted context omitted.

Let’s take an extreme example. Meta seemingly has a constant stream of product managers. If llm’s really augment the productivity of engineers, why isn’t meta launching lots more stuff? I mean there’s no harm in at least launching one new thing. What are all those people doing with the so called productivity enhancements? What I’m calling into question is how much does generating more code matter if the bottle neck i…

It’s allowed a sludge of internal tools to spin up, and more bloat. The ability to sand bag and over build these tools has gotten 2-10x worse. Only solution I can think of is to drastically cut headcount so productivity is back to prior levels, and profitability is raised. Big Tech is mostly market constrained with not much room to grow beyond the market itself growing. As for startups, seems like AI tools have drast…

Im convinced the most scarce skill on the planet is the ability to a) envision something that needs to exist in the world b) explain how the thing creates value from a financial perspective.

Most people tend to think they know what they are talking about (e.g. surface level understanding of how to think economically) and end up making basket-case decisions - only realising it months later. By that point they will fail to admit defeat and keep going on.

"As for startups, seems like AI tools have drastically reduced their time to market and accelerated their growth curves."

You mean like openclaw? lol

Re: Google plans to invest up to $40B in Anthropic

#827

Post by ttul »

JambalayaJimbo wrote: post #482
ttul wrote: post #359

Earlier quoted context omitted.

This sounds like my office, but we're a bit more tilted toward Codex. I personally use Claude Cowork for drudge-admin work, GPT 5.5-Pro for several big research tasks daily, and the LLMs munge on each other's slop all day as I try my best to wrap my head around what has been produced and get it into our document repository -- all the while being conscious that the enormous volume of stuff I'm producing is a bit overw…

Didn’t got 5.5 just come out lol. Am I just reading slop on this website?

Yeah, it did just come out. I should have probably said "GPT-Pro" and left out the version :)

Re: Google plans to invest up to $40B in Anthropic

#828

Post by eieie »

mullingitover wrote: post #824
aenis wrote: post #764

Earlier quoted context omitted.

As a CTO I can say that this is not my experience. My experience these days is fighting corporate bureaucracy and inertia to make sure we reap the benefits of faster coding. Feeding agents with work is not a problem. Building teams that use those tools effectively is the problem. (Say, shall we merge product and engineering teams? Do we start getting rid of people who refuse to use AI? What do we do with pentests? Ho…

> Do we start getting rid of people who refuse to use AI? I don't even think the bigger companies are going to waste time on figuring out how to retrain, they're just going to do industrial scale layoffs and then rebuild from the ground up with people who won't get past interviews without demonstrating hard skills in this area. There is a shocking gap growing right now, it's a Wile E. Coyote not realizing he already…

Lol people like you operate in a local maximum.

Ultimately the shareholders want to see the money. They dont give a crap about what you think or what the poster above thinks - you're both accountable to the shareholders who do not employ you for fun. They employ you for the sole purpose of making them wealthier. All this incremental spend on tokens shows up in the financials positively or it doesn't.

Re: Google plans to invest up to $40B in Anthropic

#829

Post by barnabee »

am17an wrote: post #453
barnabee wrote: post #254

Earlier quoted context omitted.

Where I work: - Development velocity is very noticeably much higher across the board. Quality is not obviously worse, but it's LLM assisted, not vibe coding (except for experiments and internal tools). - Things that would have been tactically built with TypeScript are now Rust apps. - Things that would have been small Python scripts are full web apps and dashboards. - Vibe coding (with Claude Desktop, nobody is using…

Sounds exhausting. Are your revenue numbers up?

It’s no more exhausting than the alternative. It feels good being able to build more and experiment more.

The biggest downside is the feeling that people sometimes turn their brain off and aren’t even doing basic checks on some of the slop their LLMs produce.

Re: Google plans to invest up to $40B in Anthropic

#830

Post by barnabee »

camdenreslink wrote: post #485
am17an wrote: post #453

Earlier quoted context omitted.

Sounds exhausting. Are your revenue numbers up?

I am also curious about the correlation between more PRs getting merged faster and actual business outcomes. My impression has always been it's more important the build the correct thing (what the customer needs/wants) rather than more stuff faster.

Iteration speed is far more important than the volume of features delivered, though we are tackling aspirational features that would previously have been considered too complex or niche, too.
Post reply on HN