cross-posted from: https://lemmy.ml/post/54396848

If you want to know whether artificial intelligence is a gigantic economic bubble, don’t just take pundits’ word for it. Major investors are now moving their money to try to protect themselves from the AI bubble popping.

For an industry that we’re told is central to our collective future, the artificial intelligence (AI) industry increasingly seems to be built on a combination of artificially inflated hopes and bad accounting.

The industry’s critics have been raising concerns about its finances for a while: the fact that most of its flagship firms are grossly unprofitable, that they’ve had to jack up their prices to try break even (leading their business customers to pump the brakes on using their products), or that many of the eye-popping investment announcements that are meant to show demand for AI is strong have actually been circular financing — meaning different AI firms cycling money to and from each other.

But none of it has seemed to slow the industry’s boom or the relentless hype machine behind it. Until now, anyway. It used to be that you mostly heard concerns about the industry’s underlying economics in newspapers, blogs, social media posts, and podcasts, and that those concerns went completely unreflected in the markets. But these concerns seem now to have finally bled over into investors’ thinking.

    • whoisearth@lemmy.ca
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      1 day ago

      The more things change the more they stay the same.

      If shit rolls downhill QA is at the bottom and I’m saying this as someone who comes from Ops. I deal with the shit when it hits production.

      Truth of the matter is in any org it goes like this

      Devs - literally walk on water. Give us new and shiny things

      Ops - support the half baked shit that devs promote to prod on lies that “it’s production ready we will fix in future sprints”

      QA - magical role that is never filled because “we can just get devs to review their own code”

    • shalafi@lemmy.world
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      2 days ago

      Well, they’re right.

      “If we stop testing right now, we’d have very few cases, if any,” Trump asserted, “Without testing, or weak testing, we would be showing almost no cases.”

        • wolframhydroxide@sh.itjust.works
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          1 day ago

          In case you weren’t being sarcastic: Yes, that’s a direct quote from the Paedophile traitor, the Fuhrer in Orange, shitlord of Hamberder.

          He claimed that the only reason america had COVID cases to report was because we were testing for them, stating directly that testing was bad for publicity.

          • takeda@lemmy.dbzer0.com
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            1 day ago

            Covid kind of exposed how he operates.

            His problem was that the virus did not pay attention to the media or care about politics.

            • shalafi@lemmy.world
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              1 day ago

              Moron downplayed it because he thought it would hurt his reelection chances. If he had leaned into COVID and mad a huge public commitment to fight it he would have sailed right back into office.

    • ladicius@lemmy.world
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      2 days ago

      And if you know how few of the real problems QA normally detects before a product is being shipped to the customer you know the shit show that those products will cause.

      Hand me the popcorn, that show has a lot of potential.