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Technology@lemmy.worldbybeep@piefed.world
3 days

AI Industry Needs to Earn $6 Trillion by 2031 to Justify Data Centres

www.bain.com English

cross-posted from: https://piefed.world/c/tech/p/1432197/ai-industry-needs-to-earn-6-trillion-by-2031-to-justify-data-centres

25
    New Innovation Is Required to Fund AI’s $6 Trillion Buildout
    www.bain.com
    To justify the investment, AI must do more than boost productivity; it will need to unlock new sources of growth and value.
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    • Tattorack@lemmy.worldEnglish
      3 days

      “Once the AI is smart enough we’ll ask it how to make a profit.”

      • Sam Altman, I think.
      • TheFeatureCreature@lemmy.caEnglish
        3 days

        Does it? I thought this entire industry was completely unhitched from reality and was basically just one massive case of corporate fraud.

          • myplacedk@lemmy.worldEnglish
            3 days

            Some of it really is absolutely useless.

            Some of it actually provides real value.

            Some of it seems to provide value, but actually makes things worse.

            Time will tell the proportions.

              • brucethemoose@lemmy.worldEnglish
                3 days

                The part that provides value is dirt cheap, though.

                Deepseek 4.1 and Mimo 2.6 are basically free compared to Claude, and TBH it feels like the harness/wrapper, not the LLM, is the limitation for doing useful things with them.

                  • Zarobi@aussie.zoneEnglish
                    2 days

                    Pay premium rates per token just to be told it can’t do that like HAL 9000

              • fdnomad@programming.devEnglish
                3 days

                All they need to do is get governments high on AI mass surveillance and they’ll be golden

                  • Dave.@aussie.zoneEnglish
                    3 days

                    All they need to do is get governments high on AI mass surveillance and they’ll be golden

                    All they have to do is be the last AI company standing, then just absorb everyone else’s hardware for cents on the dollar.

                    This recent “we should slow down” talk is basically just them stalling until the collapse. They’ve spent all they dare to try and be the one on top, now it’s just waiting until the bubble pops.

                    Meanwhile China is out there being the black swan of the whole field. If they manage to get models with efficiency and/or utility above what these guys are doing, they’re fucked and they know it. So it’s a ticking time bomb, and there’s not that much time left.

                      • fdnomad@programming.devEnglish
                        3 days

                        True. The “we should slow down” also comes from the fact that there havent been any real technological advances since the transformer model. All improvements are from training bigger models better and more intricate scaffolding but you can only get so far with that.

                        • elucubra@sopuli.xyzEnglish
                          2 days

                          Efficiency above doesn’t convey what China offers, their online frontier models cost 10% of what western models do, not 10% less, 90% cheaper. Also their open weights, which you can run in your own equipment (high end) can do about 80-90% of what these Frontier models do, for free.

                        • bigmamoth@lemmy.worldEnglish
                          2 days

                          Gouvernement doesn’t have 6 trillion to spare on mass surveillance

                          • moonshadow@slrpnk.netEnglish
                            3 days

                            You got causality reversed here man. They’re military infrastructure, the chatbot slop is just sugar coating

                              • CapuccinoCoretto@lemmy.worldEnglish
                                3 days

                                Get govs high on mass surveilance? Can’t get any higher than this.

                            • dylanmorgan@slrpnk.netEnglish
                              3 days

                              “It will have to go beyond the thing it already doesn’t do, to things it can’t possibly do.”

                                • Scrubbles@poptalk.scrubbles.techEnglish
                                  3 days

                                  That’s the real kicker. CEOs promised full AGI, full autonomy, basically the impossible, and investors invested in that. If they can’t deliver on that impossible goal then they failed their investors. It’s wonderful, except they’ll all get golden parachutes.

                                • CluelessCalls@lemmy.worldEnglish
                                  3 days

                                  At a current pace of what, -6 trilly?

                                  • Bakkoda@lemmy.worldEnglish
                                    2 days

                                    Pretending this isn’t about a massive surveillance state part 357

                                    • vane@lemmy.worldEnglish
                                      2 days

                                      Corporate bond offerings intensifies.

                                      • toiletobserver@lemmy.worldEnglish
                                        3 days

                                        All you need to do to reach that number is hire a major consulting firm. Arthur Anderson, PWC, Deloitte, HCL, TATA, etc. Time has proven that they are all agents of fraudulent companies who will make up any numbers you pay them to.

                                        • latetolemmy@lemmy.worldEnglish
                                          2 days

                                          It will be hacking foreign nations and surveillance

                                          • reksas@sopuli.xyzEnglish
                                            3 days

                                            is there even that much money in economy that can be used for that? Where would it even come from?

                                              • brucethemoose@lemmy.worldEnglish
                                                3 days

                                                Where would it even come from?

                                                Everyone’s retirement.

                                                  • reksas@sopuli.xyzEnglish
                                                    3 days

                                                    So everyones future for old age will get used up so rich people can buy even more yachts.

                                                • Fizz@lemmy.nzEnglish
                                                  3 days

                                                  Not really. This article assumes revenue needs to cover total spend but there will be winners and losers so revenue only needs to cover the winners expenditure which is less than a trillion. It also seems to be using the wrong figure for datacenters. The amount of data center applications isnt the actual amount since they put multiple applications per data center to shop around for good deals.

                                                  Also the sheer amount of control you’d get from being the dominant AI provider is worth a lot. Its like YouTube running at a loss for 10 years now google owns TV.

                                                  • alapakala@quokk.auEnglish
                                                    3 days

                                                    They can already justify it: plenty of slaves to go around.

                                                    • Xaphanos@lemmy.worldEnglish
                                                      3 days

                                                      How much is the cure/treatment for Parkinson’s worth? Or other intractable medical problems?

                                                      What about a device able to manipulate the containment field of a fusion reactor?

                                                      These are the reasons why everyone is buying the compute services - there are dozens of moonshot-grade problems that are suddenly possible to attempt. Many will fail, but whoever gets that one success will gain astronomical benefit.

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