Merryn Talks Money

Why You Should Wait Out AI’s Super-Spending False Start

Given the flaws of a build, build, build-business model, hyperscalers may be the wrong place for your money right now.
The Stargate AI data center in Abilene, Texas. Given the build, build, build-business model seems flawed, hyperscalers may be the wrong place for your money right now.Photographer: Kyle Grillot/Bloomberg
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Would you pay for (or even bother to use) a calculator if you knew it was only going to be right 98% of the time? You might if you knew enough about what you were calculating to tell if an answer was wrong. But otherwise? Probably not. Keep that thought in mind—we’ll come back to it.

This week’s newsletter is about artificial intelligence, or more particularly about the large language models (LLM) we currently refer to as AI. It’s about what they need from us and what we think we need from them.