Technology

Who could have possibly seen this coming?!

I think they may have located a more extreme, even dumber business category than "too big to fail": "too big to bail out".

Basically, the AI lab told backers to expect revenues approaching $50 billion — far shorter than the explosive $70 billion number reported previously.

Though that $70 billion figure was also based on leaked investor memos, OpenAI wasn’t in any hurry to deny it, digging itself into a $20 billion hole.

So they told investors they'd make $70b and now they're bringing down the forecast to $50b . $50b is still insane, that's more revenue then any other software company except Microsoft (and probably anthropic), next closest is Salesforce with $41b, and Salesforce built that revenue over decades. Open AI finished 2025 with $13b in revenue, that's nearly 4x growth in a year on more then 10 billion in revenue, that has never been done before.

Idk if this is a sign of a bubble collapsing just because it's record setting growth and revenue aren't as explosive as they initially said. It is still very much explosive, but more a fission bomb then an h bomb. It seems the market agrees, Nvidia is down ~1% on this news, but still up 5% on this month and 20% yoy.

Sounds like it's almost bailout time again.

Yeah... I'm sure the bubble will pop any minute now.

Just like the Housing bubble.

And the Crypto bubble.

This article is conditioning.

Burst, baby, burst!

Even if demand is there, as long as a user paying €200 / mo is costing the business €4,000 / mo then it’s not financially sustainable. (Along with the even worse ways it’s not sustainable)

Edit: see second comment below from partydisc explaining why the even the lower figure wasn’t well calculated.

Let it pop! Let it pop! No bailouts for billionaires. Just let the fucking system collapse. I’ll happily go back to a trade a barter system of some kind.