Only a matter of time before OpenAI and Anthropic realize that they are critically underpricing their tokens relative to the utility it provides for end customers Particularly true in certain job functions, such as finance, coding, research, and so forth My hunch is that they could price the tokens for their most frontier models at almost 5x higher and it still be worth it for many companies to continue paying for it As we saw from the S1 filing, the wallet share is still incredibly small amongst top customers. For Fortune 500 companies spending over $100K, it is still roughly just 0.1% of their spend Compare that to total SG&A as percentage of revenue at these same companies, and that generally averages closer to 15-20% depending on the industry Even if you were to automate just 10% of labor expense, Anthropic basically has multiples of growth ahead just on existing customers alone This doesn’t even include new customer expansion as artificial intelligence slowly diffuses across society on a global scale The numbers sound crazy because Anthropic is already coming at a $1.5-2 trillion valuation, making it one of the largest companies in the world But it’s hard not to be bullish on this business, and I suspect we will feel the same way once OpenAI files their IPO as well

I used real AI (Fable + Opus 5.5) for first time ever yesterday. Only used Google Search AI summary and image gen models before. For EE/HSIO/semis/optics, its garbage. Slop vomit so wrong it is almost completely useless. Some entertainment value. Zero productivity value.

the data economy is gonna be insane. for process knowledge alone there's ~1 million SMBs who can sell their data for $100k+ to 1000s of data brokers and 100s of RL env cos and 10s of labs. $100T market easily

This is an incredible moment in this history of mathematics, computer science, physics & science with some of the hardest problems in human history being solved by AI over a period of weeks. Depending on your perspective, it's either a crisis, a triumph, or both. I don't think anyone knows for sure. We're all trying to make sense of it. I oscillate between fear/dread and optimism/excitement on a daily basis. The rate of progress is insane, including today's announcement from OpenAI of more problems solved. To help make sense of all of it, here's my conversation with three mathematicians about this moment. Each of them is an expert in the field of each of the biggest problems solved: Navier-Stokes, quasi-Riemann hypothesis, the unique games conjecture and complexity theory more generally. Ankur Moitra is a mathematician and theoretical computer scientist at MIT, visiting the Institute for Advanced Study in Princeton. Steven Brunton (@eigensteve) is a mathematician and fluid dynamics expert at UW. Alex Kontorovich (@AlexKontorovich) is a mathematician at Rutgers specializing in number theory.

Announcing three major scientific discoveries, one each in mathematics (harmonic analysis), computer science (complexity theory), and physics (quantum field theory). AI starting to help us improve our understanding of the universe! openai.com/index/building-sc…

it's the golden age of the white hats. the world has never needed you more. there should be a huge prize pool for finding flaws in civic infrastructure. their work should be strongly protected by statute

The only way out is through. They're calling it the Bugpocalypse. LLMs are being used to find long-hidden cracks in the software infrastructure, and it's happening at a furious rate. 3% of all compromises in computing history happened in the last week, claims one source? I believe it. There are people saying public access to the frontier models ought to be locked out, or heavily guardrailed, over this. The problem with that idea can be summed up in one sentence: when lockpicks are outlawed, only outlaws will have lockpicks. The lockpicks will be Chinese open-weight models, if nothing else. There's no way to stop those from becoming ubiquitous. There are two futures in front of us. One in which only the bad guys have lockpicks, and security holes go undiscovered until they're exploited. Another in which everybody has lockpicks and is aggressively red-teaming their own software so it gets fixed before the holes are exploited. The corpus of human code is huge but finite. The number of defects in it has to be finite too. We can fix those defects now; we have a million friendly robots to do it with. The only way out is through.

🚨 RETAIL INVESTORS DID IT AGAIN. JPMorgan data shows retail investors bought nearly $550 MILLION worth of tech stocks between October 15 and 21, their biggest buying spree in at least 2 years, right before another brutal AI stock sell off. Most of the buying was concentrated in semiconductor stocks, memory chipmakers and AI infrastructure companies. Tech ETFs also recorded their SECOND HIGHEST weekly inflows EVER, with October 16 seeing the biggest single day inflow on record. But the timing couldn't have been worse. The semiconductor index plunged 6.7% on October 22 and was down 19.5% from October 6. Retail investors rushed to buy the AI dip, only to get caught in another brutal sell off. If the AI downturn continues, those aggressive bets could turn into much bigger losses.