AI Gets $100M Bid from Qualcomm

To me, it feel that the AI bubble is about to vent, at lest in China. Amazon's price to revenue ratio is peanuts in comparison to some Chinese "AI" companies with 10 digit valuations and nothing more than a fancy website.

Chinese stock markets are sagging hard, and the state will not jump to its rescue this time, moreover saving the obviously overvalued companies. That's pretty clear.

They had gigantic loans signed with their stock as collateral, and now, you see how that ended.

Re: AI Gets $100M Bid from Qualcomm

#6

Post by svantana » Thu, Dec 06, 2018, 1:13 PM UTC

baybal2 wrote: post #5

To me, it feel that the AI bubble is about to vent, at lest in China. Amazon's price to revenue ratio is peanuts in comparison to some Chinese "AI" companies with 10 digit valuations and nothing more than a fancy website. Chinese stock markets are sagging hard, and the state will not jump to its rescue this time, moreover saving the obviously overvalued companies. That's pretty clear. They had gigantic loans signed w…

The momentum is slowing on the basic research side, not as many outrageous improvements to benchmarks coming out these days. At the same time, a lot of non-trivial tasks are close to being automated using ML methods, including high-paying tasks in medical, legal, security, etc. So if those revenue streams can be captured, that would account for these valuations and then some.

As for P/S ratios, a lot of tech startups (in various fields) have zero revenue, which makes the ratio infinite, so I'm not sure that says very much.

Re: AI Gets $100M Bid from Qualcomm

#7

Post by new299 » Thu, Dec 06, 2018, 1:19 PM UTC

svantana wrote: post #6

baybal2 wrote: post #5

To me, it feel that the AI bubble is about to vent, at lest in China. Amazon's price to revenue ratio is peanuts in comparison to some Chinese "AI" companies with 10 digit valuations and nothing more than a fancy website. Chinese stock markets are sagging hard, and the state will not jump to its rescue this time, moreover saving the obviously overvalued companies. That's pretty clear. They had gigantic loans signed w…

The momentum is slowing on the basic research side, not as many outrageous improvements to benchmarks coming out these days. At the same time, a lot of non-trivial tasks are close to being automated using ML methods, including high-paying tasks in medical, legal, security, etc. So if those revenue streams can be captured, that would account for these valuations and then some. As for P/S ratios, a lot of tech startups…

I’m curious to know which tasks specificly are close to being automated?

Also, are there any AI applications which have already generated a large amount of revenue?

Re: AI Gets $100M Bid from Qualcomm

#8

Post by snaky » Thu, Dec 06, 2018, 2:00 PM UTC

baybal2 wrote: post #5

To me, it feel that the AI bubble is about to vent, at lest in China. Amazon's price to revenue ratio is peanuts in comparison to some Chinese "AI" companies with 10 digit valuations and nothing more than a fancy website. Chinese stock markets are sagging hard, and the state will not jump to its rescue this time, moreover saving the obviously overvalued companies. That's pretty clear. They had gigantic loans signed w…

> Chinese "AI" companies with 10 digit valuations and nothing more than a fancy website.

That's one thing, but the hundreds (yes, hundreds, literally) AI-enabled chips and SoCs, from small and medium not-so-well-funded Chinese firms are real - most of them contains some RISC-V hard cores by the way.

Some of them will be bought by those fancy-valuated hype-enablers, and maybe even prove their initial valuation at the end.

Re: AI Gets $100M Bid from Qualcomm

#9

Post by withhighprod » Thu, Dec 06, 2018, 2:03 PM UTC

baybal2 wrote: post #5

To me, it feel that the AI bubble is about to vent, at lest in China. Amazon's price to revenue ratio is peanuts in comparison to some Chinese "AI" companies with 10 digit valuations and nothing more than a fancy website. Chinese stock markets are sagging hard, and the state will not jump to its rescue this time, moreover saving the obviously overvalued companies. That's pretty clear. They had gigantic loans signed w…

Don’t worry. Chinese AI companies tend to secure contract from government or state owned enterprise. In that case honestly it worths that 10 digit valuation as long as they maintain that relation, just imagine the scale of the monitoring network for example. And according to my friend working in Chinese VC, few targets at actual consumer or even small businesses.

So it’s not surprising one can’t find a service entry point from their fancy website unless they are AI e-commerce startup.

Re: AI Gets $100M Bid from Qualcomm

#10

Post by snaky » Thu, Dec 06, 2018, 2:32 PM UTC

new299 wrote: post #7

svantana wrote: post #6

Earlier quoted context omitted.

The momentum is slowing on the basic research side, not as many outrageous improvements to benchmarks coming out these days. At the same time, a lot of non-trivial tasks are close to being automated using ML methods, including high-paying tasks in medical, legal, security, etc. So if those revenue streams can be captured, that would account for these valuations and then some. As for P/S ratios, a lot of tech startups…

I’m curious to know which tasks specificly are close to being automated? Also, are there any AI applications which have already generated a large amount of revenue?

The tracking of everybody all the time is close to be automated.