Hermes Psychopomp, JD.
13.9K posts
@Cypherpunk69
Cypherpunk? Member of @TheWardensGC
OpenAl is offering private-equity firms a guaranteed minimum return of 17.5%, as well as early access to models not yet in public release.
you're probably underestimating how crazy things are
LAWMAKERS TO INTRODUCE BIPARTISAN BILL BANNING SPORTS BETS ON PREDICTION MARKETS SUCH AS POLYMARKET AND KALSHI: WSJ
BREAKING: Gold has officially entered a bear market, now down -22% from its record high.
JUST IN: OpenAI reportedly offering private-equity firms a guaranteed minimum return of 17.5% in push to raise fresh capital.
a company losing $14 billion a year is guaranteeing investors a 17.5% minimum return. read that again. they’re offering private equity firms a guaranteed minimum return, downside protection, and early access to unreleased models just to get them to invest $4 billion. the most valuable AI company on earth is projected to lose $14 billion this year while making $10 billion in revenue. the math aint mathing 💀 Anthropic is also chasing the same investors but only offering equity with no guarantees. OpenAI is sweetening the deal. two companies burning billions racing to see who can lose money faster. lmao.
JUST IN: OpenAI reportedly offering private-equity firms a guaranteed minimum return of 17.5% in push to raise fresh capital.
Trump blinked. His reputation will not recover from this. As with his climbdown over Greenland, he has almost certainly won no significant concessions. "Art of the deal", my foot. I have never seen such shambolic incompetence from a world leader. I've known parish councillors with a better understanding of statecraft.
So, OpenAI is trying a new creative way to raise, but this time Sam has been borrowed this idea from a playbook that as it has been used over the years by Ponzi Schemes - OpenAI is offering a 17.5% return to lock in firms into forming joint ventures aimed at raising fresh capital. I don't even know what to say. Has OpenAI turned to something resembling a Ponzi dynamic in order to raise more cash because firms are hesitating to give or lend cash to OpenAI? Maybe many firms have run out of cash as the AI Industry have already raised hundreds of billions of dollars ? According to the report, At least two PE firms have already declined, citing concerns about economics, flexibility, and profit profile. And what about the fresh $110B round from Amazon, Nvidia, and SoftBank? Well... SoftBank is still trying to figure out how to come up with its $30B. And Amazon and Nvidia, most of that is equity, cloud credits, or GPUs in exchange for equity, not much actual cash.
