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This AI trade is crazy. Either it’s the biggest trade of my life that I will HFSP by not owning any stocks in AI. Or it is one massive bubble that everyone is piling into because markets no longer make sense.
The idea that Open AI which almost has no revenues is worth more than
  • Pizza shop (Dominos)
  • Online meeting (Zoom)
  • Music (Warner Music Group)
  • Airlines (American Airlines)
  • Language education ( Duolingo)
  • Apparel (Ralph Lauren)
  • Legacy media ( New York Times)
  • Advertising (Snapchat)
  • General Media Player (Roku)
I haven’t read all 13 takes on this company but I still remained skeptical. One would say Open AI will transform all of these businesses and they will become dependent on Open AI services and that may be true. But people still need to bake the pizza and fly the airplane.
This is why I don’t say markets are efficient and the free market can solve all problems. That is a fallacy.
Humans fund and throw money at things all the that fall tremendously. If markets were perfectly efficient a software company with almost no tangible product on the market where massive amounts of people and businesses are chomping at the bit to use would draw a valuation this high.
Hopefully I’m wrong because if Open AI is the next Google then my life will benefit from the ancillary effects of their success even if I don’t own the stock. For both the good and bad.

Take a side stackers.

In 5 years who would you pick to have higher valuation? Open AI or the list of companies listed in comparison
Stackers who select the correct side I will zap 1,000 sats. Lock in your pick no later than February 1st.
@remindme in 5 years
10 companies will be more valuable in 5 years
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Locked in!
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I dont know if those companies on the right side will be worth more, but I think openai will struggle to keep that valuation. People are piling in to get into the next best thing, but has AI really improved much from machine learning? I am not so sure. I feel AI still has a long ways to go before it is productive.
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You got a side?
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Well.... Just the side that open ai will be worth less than it is valued now. I dont know the other companies well enough to know if they will do well in the next couple of years. I can see zoom being absorbed by another company....there are too many factors.
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Going with Open AI! Locked in
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There are 3 major search query segments that users traditionally make. Commercial, navigational and educational (this has now evolved into actionable as it executes the task for the end user as well). Educational has always been a difficult one for Google in particular to monetise. 99%~ of the revenue comes from commercial terms.
OpenAI and the GenAI category is monetising the third segment. I think the valuation makes sense and likely grows considerably as the market is so large. The only way it becomes profitable however is if energy prices come down as the compute cost is too high. So it’s a long term investment on building and holding their network on the educational segment and energy prices going down to allow it to be profitable.
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So team open AI?
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Yes sir. 🤠
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So it appears the 13 opinions are trying to categorize Open AI to existing business.
I read the one Open AI is bitcoin and Ms. Kim called ordinals a Bitcoin development like the lightning network 😆. This author is clueless
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