Forge’s Post

OpenAI, valued at a staggering $80B, makes it the third most valuable Unicorn after Bytedance (TikTok Parent) and Spacex OpenAI's rise has been extraordinary. Just over a year ago, it was valued at $29B. With a reported $2B in annualized revenue, its current valuation gives it a very rich valuation multiple of ~40x Price/Sales (for ref. Nvidia Price/Sales is ~33x) For more details and perspective, check out this week's newsletter: https://lnkd.in/gqp8ymPK #ai #strategy #artificialintelligence #datavisualization

The genAI sector is poised for more consolidations in the next 6-12 months. Ultimately, many genAI companies may not turn a profit in this current cycle. We will probably see more killer apps in the next hype sycle.

During the DotCom bubble, there were a number of IPOs based on the speculative value of companies that were exploiting the entirely “new possibilities” of the internet and the web. Only a select few of these companies figured out how to turn engagement into review - most of these ventures failed to produce revenue. During Machine Learning wave over the past decade. My role was to bring some of the amazing science out of Microsoft research and help create products from it. Our first few ventures were with Machine Vision. The business model was essentially unmetered and enforced through a license agreement. This helped us get data from customers and develop our business model. Eventually we changed our business model to be based on a number of transactions using an API key. As open source models become competitive - the business become more challenging (unless you had differentiated features or capabilities). Folks that I have spoke with at some of the large companies that are making some of these deep investments are making some money on Large Language Model services. However, the race to add larger training sets is burning a lot of electricity on high value GPU machines. At a macro perspective how these companies get to an ROI is interesting. Especially with folks like Meta disrupting the for pay space with increasingly capable “free” (not open) offerings. Looking forward, training foundational models to understand perception, real world physics and kinematics will also drive deep investment costs. Curious to see what effective business models emerge. As Pichai says, "Not investing to be at the front here has much more significant downsides”. This does imply that every large tech company must participate in an AI arms race - unless we decide to create some sort of collaborative consortium to share in the costs, guardrails and rewards. Amazing time to be involved in #AI #robotics #ML #LLM #foundationalmodels #venture #investment

2025: When the White House Tweets Back—Elon Musk's Influence on America's Tech Future A petition urges the White House to appoint Elon Musk as AI adviser, leveraging his experience with OpenAI and xAI. While Musk’s insights could shape tech policy, critics worry about conflicts of interest. Will his influence redefine AI’s future—or raise ethical concerns? Read more at https://lnkd.in/gSfGvvsY #ElonMusk #TechFuture #WhiteHouse2025 #MuskInfluence #USATechPolicy #TechLeadership #DigitalInnovation #GovernmentAndTech #MuskEffect #TechPolicy #USInnovation #PoliticalTech #TechAgenda #InnovationLeadership #MuskImpact #FutureOfTech #GovernmentInnovation #USATech #DigitalEconomy #PolicyAndInnovation

super cool, Hugging Face 🤗 open source is the way to go 🔥🔥🔥 Apple, NVIDIA, Snowflake, Databricks, Microsoft, Google, Meta and more have released open models and datasets on Hugging Face. #ZeroGPU #GPU #AI #community #LLMs #machinelearning #ai #aitization #compute

Unless Elon knows something I don’t, which is likely, most experts agree the jump in computational power and energy required to get to the next level of ai would require a massive breakthrough in those fields, and nobody has shown any proof we are even close. Even if we could figure out the programming behind general intelligence ai, we couldn’t power it, nor do we have a machine on this planet that could run it. I’ve heard Altman say we would need a super computer the size of the earth. There are 3 levels of AI: - Narrow or weak ai (we are capped out here, and just finding new applications and UIs for an old technology) - AGI or strong AI, which again, it’s theorized we’d need a super computer the size of the earth to make happen. We are nowhere near the computational power needed for this. This is the level where ai can compete with humans… not better, but comparable. - ASI or Super-intelligence. This is the level musk is referring to, where ai will be superior to humans. Musk is claiming we are going to get to ASI within a couple years. Does he know something we don’t, possibly on the energy front, or is this just Elon trying to stir the pot and be controversial because he knows it gets him attention?

Post the Arm Holdings results today makes it the perfect time to share Part Two of my GenAI series for FNArena. With markets eagerly anticipating the #Nvidia results on May 22nd, Part Two delves into the significant secular megatrend, aiding investors in navigating the Fourth Industrial Revolution pathways. Dive deep into #GenerativeAI, #datacentres, #cloudcomputing, #hyperscalers, and key players like #Microsoft, #Google, #Amazon, and #Meta.

QUICKFLICK AI NEWS 🚀 Elon Musk's xAI Secures $6 Billion: A Game Changer in AI Development! In a remarkable move, Elon Musk's latest venture, xAI, has raised **$6 billion** in fresh funding, bringing its total to a staggering **$12 billion**. This capital will turbocharge its ambition of developing the generative AI model, **Grok**, which powers various innovative features on Musk’s social platform, X. With a current valuation of **$50 billion**, xAI has doubled its worth in just a short time. This funding round saw participation from heavyweight investors like Valor Equity Partners, Sequoia Capital, and Andreessen Horowitz. The influx of capital will support not just the development of AI capabilities but also the expansion of its state-of-the-art data center equipped with **100,000 Nvidia GPUs** in Memphis. As xAI strives to compete with industry giants like OpenAI, it leverages data from Musk’s vast ecosystem, including Tesla and SpaceX. With projected annual earnings of **$100 million**, xAI is set to redefine the landscape of artificial intelligence. What are your thoughts on this monumental funding? Could xAI become a leader in the AI space? Let’s discuss! #xAI #ArtificialIntelligence #ElonMusk #Innovation #quickflickaidigitalsolution #quickflicksingapore #quickflickai

In my book, any day where you wake up to news that your startup is shortlisted as one of the six biggest innovations at a major industry event, and mentioned next to a trillion-dollar company like NVIDIA -- THAT is a good day, or at least a great start. Thanks to Databricks for joining Gretel.ai's mission to make data private and safe for #AI, and to Shubham Sharma at VentureBeat for covering the story: https://lnkd.in/dgPbasTs And to think, this is not even the main story you'll hear from Gretel.ai today. 😉 Stay tuned! #GretelNavigator #SyntheticData

Elon Musk's xAI, a competitor to OpenAI, is close to securing $6 billion in funding, valuing the company at $18 billion. Investors, including Sequoia Capital and Future Ventures, are eager to join the round. xAI aims to connect the digital and physical worlds using data from Musk's companies like Tesla and SpaceX. The social platform X, owned by Musk, is already a shareholder in xAI and stands to benefit from its growth. Musk's involvement in the AI industry has raised questions about the impact on OpenAI, a major player in the space. Source: Tech Crunch Follow Stackviv AI for more AI and Tech Updates. #ElonMusk #xAI #OpenAI #AIInvestment