Mark Newton on Nostr: Brain genius Sam Altman appears to have masterfully negotiated a deal with Apple that ...
Brain genius Sam Altman appears to have masterfully negotiated a deal with Apple that results in no revenue for OpenAI. https://www.businessinsider.com/apple-holds-power-openai-deal-chatgpt-iphones-tim-cook-2024-6
Servicing Apple customers will place load on OpenAI which they’ll serve by buying more Azure capacity by spending the capital Microsoft invested in them (because they don’t have any other money — they have no pathway to profitability, they’re drawing down on capital to fund operations)
If Apple isn’t paying, this becomes another instance of OpenAI acting as a vehicle to recycle money from the “assets” side of Microsoft’s ledger to the “revenue” side, which pumps up its balance sheet and yields a higher stock price.
Which is, I’m increasingly convinced, the actual purpose of the OpenAI organization.
Servicing Apple customers will place load on OpenAI which they’ll serve by buying more Azure capacity by spending the capital Microsoft invested in them (because they don’t have any other money — they have no pathway to profitability, they’re drawing down on capital to fund operations)
If Apple isn’t paying, this becomes another instance of OpenAI acting as a vehicle to recycle money from the “assets” side of Microsoft’s ledger to the “revenue” side, which pumps up its balance sheet and yields a higher stock price.
Which is, I’m increasingly convinced, the actual purpose of the OpenAI organization.