Press enter or click to view image in full sizePhoto by BoliviaInteligente on UnsplashWhen you find yourself in a hole, at what point do you stop digging?
It is almost funny how the world has only just cottoned on to the AI bubble. Every time I read the news, it feels like an arsonist complaining that the building is on fire. Every major banker, venture capitalist, financial pundit and media outlet that made AI hype their entire personality a year ago is now warning that when the AI bubble pops, it will crash our economy. Great… And whose fault is that, exactly? But what I find truly fascinating about this sudden snap back to reality is that it is totally surface-level. For example, none of these people have even tried to look under the hood of OpenAI, which is overwhelmingly responsible for this bubble. That is almost offensive, because they could probably build a mass grave with all the skeletons in their closet. So, let’s dig into OpenAI and put a name to these ghouls so terrifying no one can talk about them.
Earlier this year, The Information analysed OpenAI’s predictions and found that they were on track to post a $14 billion loss in 2026 (read more here). This was on the heels of OpenAI nearly going bankrupt and experiencing a $6 billion investor bailout at the end of 2024. So, needless to say, if losses grew to that level, OpenAI would be seen as a doomed venture.