Oracle made a $300 billion bet on OpenAI. It's paying the price. (finance.yahoo.com)

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[-] phoenixz@lemmy.ca 43 points 1 month ago

Can we do away with trillion dollar companies already,. please? They're not doing anything good for anyone, it always ends with some CEO's and shareholders enriching themselves over the backs of others

No company should ba r a worth of more than a billion dollars

No single person should have a net worth of over 10 million

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[-] mickus@sh.itjust.works 23 points 1 month ago

Where the fuck do they get this money from? $300 billion is fucking nuts. And 1.4 trillion in costs is literally bigger than my countries' entire GDP (Australia)

[-] UltraGiGaGigantic@lemmy.ml 19 points 1 month ago

The 1% is willing to pay whatever imaginary fiat currency they can to eliminate the need for the working class. Then they can finally get rid of us.

[-] EndlessNightmare@reddthat.com 11 points 1 month ago

While simultaneously acting like a bunch of whining little crybabies about declining fertility rates.

Which is it: AI (and other automation) will replace jobs, or there aren't enough people to work all the jobs?

[-] tlmcleod@lemmy.dbzer0.com 10 points 1 month ago

Hedging their bets. They're only capable of being sure of the future as the next person, which isn't very capable at all. But they have the ill-gotten means to back both sides so they continue to be on top.

[-] EndlessNightmare@reddthat.com 6 points 1 month ago* (last edited 1 month ago)

Oh I know what they're doing. I just don't give a shit and will point out how ridiculous their sense of entitlement is.

No one is owed another human being.

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[-] Tollana1234567@lemmy.today 4 points 1 month ago

probably borrowing from large banks, selling shares, or bonds, or offering something as COLLATERAL.

[-] drasglaf@sh.itjust.works 3 points 1 month ago

And ripping off their customers.

[-] leftzero@lemmy.dbzer0.com 3 points 1 month ago

Well, it's called One Rich Asshole Called Larry Ellison, after all... 🤷‍♂️

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[-] echodot@feddit.uk 17 points 1 month ago

Oh good. AI is collapsing and it's taking Oracle with it.

[-] Passerby6497@lemmy.world 8 points 1 month ago

Me, watching my company pivot to their cloud infrastructure: haha, I'm in danger

[-] FarceOfWill@infosec.pub 7 points 1 month ago

I understand why people keep using oracle, but i have never understood why anyone starts.

[-] neukenindekeuken@sh.itjust.works 5 points 1 month ago

Because they have a series of ERP systems and services that some idiot CTO at the company looks at and goes: Yes, give me one of those.

Then once you're on that, you get pulled into more and more Oracle ecosystem shit and you think some day you'll have control and be able to get out. But you never do.

Oracle is like the loanshark of the tech industry.

Once you're in, you're in for life. Good fucking luck getting out.

[-] Passerby6497@lemmy.world 2 points 1 month ago

Because their data centers are run by clowns, and going to the circus is an improvement

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[-] mcv@lemmy.zip 2 points 1 month ago

I've been telling my employer that they should be moving away from the Microsoft cloud for a whole bunch of reasons. Someone said they're aware of it, so with the speed stuff here is moving, we might actually move to something else in 10 years.

But personally I wouldn't lose any sleep if the whole bubble collapsed next year.

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[-] mcv@lemmy.zip 17 points 1 month ago

OpenAI’s mounting costs — set to hit $1.4 trillion

Sorry, but WTF!? $1.4 Trillion in costs? How are they going to make all of that back with just AI?

I think there's only one way they can make this back: if AI gets so good they can really replace most employees.

I don't think it will happen, but either way it's going to be an economic disaster. Either the most valuable companies in the world, offering services that the next couple of hundred companies in the world depend on, are suddenly bankrupt. Or suddenly everybody is unemployed.

[-] Knock_Knock_Lemmy_In@lemmy.world 14 points 1 month ago

1,400,000,000,000

I used to be amazed at how much a billion was, but this many 0s makes my head explode.

These must be bubble inflated costs to match the bubble inflated revenue.

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[-] explodicle@sh.itjust.works 12 points 1 month ago

If LLMs fail and they invested: bailout

If LLMs succeed and they invested: rich

If LLMs fail and they passed: everyone else bailed out

If LLMs succeed and they passed: out of business

Therefore, the logical choice for a business is to invest in LLMs. The only mechanism to not do the stupid thing that everyone else is doing is gone.

[-] Tollana1234567@lemmy.today 9 points 1 month ago

its a ponzi scheme.

[-] e461h@sh.itjust.works 7 points 1 month ago

Prediction: the bubble is real but financiers will find ways to kick the bull down the road until they can force enough adoption & ad insertion to not lose out. The other option is that we pay it, of course. Takes on which is worse?

[-] CmdrShepard49@sh.itjust.works 8 points 1 month ago

They'll do both just like they did in 2007/2008. These AI companies and their investors will get bailed out while the rest of us lose our jobs and have to move back in with our parents in the van they already live in.

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[-] Jakdracula@lemmy.world 5 points 1 month ago

How is a haunted typewriter supposed to replace all those employees?

[-] muusemuuse@sh.itjust.works 2 points 1 month ago* (last edited 1 month ago)

I’ve tried explaining AI to people before and only could get so far before they fall back on “but it’s magic dude” but I love the idea of explaining it as a haunted typewriter.

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[-] LostWanderer@fedia.io 16 points 1 month ago

Couldn't have happened to a worse company! Hope it hurts even worse later on and fractures the Execucultist's will to shill AI further. 😈

[-] alias_qr_rainmaker@lemmy.world 4 points 1 month ago

300 billion on OpenAI? Why? LLMs in general are trash, but ChatGPT isn't even the best LLM

[-] hayvan@piefed.world 5 points 1 month ago

GPT goes beyond chat, copilot code generation is also based on that. They also have generative visual stuff, like Sora.

Then there is brand recognition I guess, tech bros and finance bros seem to love OpenAI.

[-] TheGrandNagus@lemmy.world 6 points 1 month ago

Brand recognition cannot be overstated.

If there was a better-than-YouTube alternative right now, YouTube would still dominate.

If there was a phone OS superior to Android and iOS, they would both still dominate.

If there was a search engine that worked far better than Google, Google would still dominate.

The average person won't look into LLM reasoning benchmarks. They'll just use the one they know, ChatGPT.

[-] Redjard@lemmy.dbzer0.com 3 points 1 month ago

Youtube and android have strong network effects. I don't think openai has anything close to comparable. They tried I am sure, I recall an app platform they added to chatgpt, but I haven't heard of it in ages so I assume it hasn't been a dominant factor.
I also don't get the impression there is enough training material available exclusively to openai it'd be such a factor.

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[-] LostWanderer@fedia.io 3 points 1 month ago

The only good LLM is one that is being used by a highly specialized field to search useful information and not in consumer hands in the form of a plagiarism engine otherwise known as "AI". Techbros took something that once had the potential to be useful and made it a whole shitty affair. Thanks, I hate it.

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[-] xenomor@lemmy.world 10 points 1 month ago

Personally, I am eyeballs deep in this industry and even I’m now hoping to see it all burn to the ground. I’ve already concluded that I’ll never make it to retirement in my field, probably because of automation. Fuck ‘em all.

[-] xartle@reddthat.com 5 points 1 month ago

Same for me... It's depressing. And I no faith the government will do anything besides make it worse. If we're lucky we'll get the Expanse 's version of basic.

[-] Sine_Fine_Belli@lemmy.world 3 points 1 month ago

Yeah, same here honestly. I’m sick of the ai cringe fest and the egotistical tech bros being so annoying and full of themselves and being arrogant. The tech bros are insufferable

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[-] TotalCourage007@lemmy.world 10 points 1 month ago

Do y'all think investors will wake up and realize that techbros are a bunch of fraudster scammers? Oracle deserves bankruptcy for being stupid with money. All my homies hate the AI-Bubble.

Bro even the way journalists talk about AI like it being a bet couldn't be more obvious that it's all a scam. If this AI-Bubble is profitable where are the actual god damn profits.

[-] The_Vampire@lemmy.world 3 points 1 month ago

I imagine there's quite a few who believe it a fraud but want to profit anyway.

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[-] oftenawake@lemmy.dbzer0.com 9 points 1 month ago

Larry Ellison can fuck off while we're at it, the meddling technofascist bastard. Hope he loses everything!

[-] corsicanguppy@lemmy.ca 6 points 1 month ago

If they kill oracle, will that kill the last Unix after IBM stole the parent OS of Solaris and put it into Novell's oubliette to reduce competition?

[-] vk6flab@lemmy.radio 4 points 1 month ago

I wonder .. will it be another case of "Too Big To Fail" .. or will it be .. "Let The Market Decide"?

I'm guessing the answer depends on how many medals the CEO of Oracle can bestow upon the Orange.

Me .. cynical .. no .. just been here for a while.

[-] manxu@piefed.social 4 points 1 month ago

Honestly, tulips were a better investment than Tesla or OpenAI. In fact, the continued success of the latter two tells you by itself there is something deeply, seriously wrong with the stock markets and the economy as a whole.

[-] Rhoeri@lemmy.world 2 points 1 month ago

Good.

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this post was submitted on 13 Dec 2025

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