AI remains unprofitable, largely useless

There’s just one problem with this master plan: OpenAI doesn’t have the money to pay for it. For example, OpenAI is committing to pay Oracle $60 billion in capex investment annually for five years. For reference, Meta, one of the most valuable and profitable companies in the world, which brought in $164.5 billion in revenue in 2024 and ended the year with a free cash flow of $52.10 billion, plans to spend $72 billion in 2025 building data centers. OpenAI, on the other hand, is on pace to bring in $12.7 billion this year, expects to lose $9 billion, predicts its losses will swell to $47 billion by 2028, and doesn’t expect to break even until 2029. How can OpenAI plan to spend five times what it brought in?

The AI Ouroboros at The American Prospect

So if you’re trying to follow along, you have three companies. Nvidia makes computer chips. Oracle fleeces the federal government by making it impossible to move to cheaper, modern infrastructure provides cloud architecture. And OpenAI makes software that lies confidently makes software that lies confidently.

OpenAI has grand plans but no money. Oracle is desperately trying to modernize itself before people figure out it’s a dinosaur. Nvidia actually produces useful things. So OpenAI is going to pay Oracle to host their data centers so they can convert more scarce natural resources into false information. Oracle is buying tons of Nvidia chips. And Nvidia is pledging money to OpenAI to try and make all this happen.

Imagine you create three companies, A, B, and C. A pledges $100 billion to B. B pledges $100 billion to C. And C pledges $100 billion to A. No one has any actual money, but you now have three hundred billion dollar companies, and the stock market will manifest the value.

Targeted like a Stormtrooper

The below comment made it through the WordPress spam filter and into my moderation queue. I don’t know why – it’s clearly garbage spam, and it’s on a 2006 post I did clearly trying to farm hits from John Scalzi’s large fanbase.

Hey! Just launched TurboJot — the AI-powered outreach tool that actually wrote and submitted this message. It auto-fills forms with human-like messaging and precision targeting, consistently driving more conversions than email or ads. Book a demo on our site: https://go.turbojot.com/discover

I’m leaving the link in because you should know what this company’s product is. It frankly isn’t bad at sounding like a person. Unfortunately, it sounds exactly like a person writing a spam comment or email. And the targeting – back at the height of this blog, I got a decent amount of traffic for the poorly written ramblings of a completely unfamous person. But this particular post (I don’t have hit counters from the beginning any more) has three hits this year. Probably all AI scrapers that managed to trick WordPress into thinking it was a “view”.

Hat tip to Adriano for the post title.

Mortgage companies and condo insurance

Do you own a condo? Have you recently gotten a breathless letter from your mortgage company telling you that the insurance policy for your building is expiring and all life on Earth is about to end in a fiery apocalypse if you don’t show them proof of insurance?

So, here’s the thing. Nearly all condo building policies are written for one year. Your mortgage company knows this. So when they send you this letter, it’s the same as a letter saying, “When you got approved for your loan, you said you were 36 years old. Now our records indicate you are 37, you dirty liar. We will murder you and your dog in your sleep if you do not rectify this IMMEDIATELY”.

Why are rats visiting my free rat buffet?

I like tagging along with the pest control guys when they do the exterior rat treatments. Bugs I don’t find that interesting, but rat control really is. I’m increasingly not a fan of poison and much more a fan of taking away their food sources and entry points. It’s more effective AND better environmentally.

Today I was letting the pest guy into a locked garage and one of the building unit owners came out and we chatted. He showed me their neighbor who had rats get into his Porsche SUV and cause all sorts of damage to the engine. He showed me the rat poison boxes in the backyard, and the kennel for the feral cat from the city.

And then we looked at the guy’s curbside compost bin with the lid half off, and his trash bin, which was so overfilled it couldn’t close.

Rats like food. Do you know why they eat the poison we leave out? Because they think it’s food. If you leave ACTUAL food out, they will eat that instead, and then they will snack on the delicious plastic in your SUV engine for dessert.

I’m sure the feral cat will do wonders for the population of songbirds in the alley, though, congrats on that.

Crypto is garbage

Cryptocurrency is really good for:

  • Fraud
  • This unregulated pseudo-stock-market where one type of digital magic bean is worth five figures despite having no basis in reality

That’s it. If it had any real use or value as a currency, Paypal, Venmo, Zelle, CashApp, the entire ACH industry, and every other way we transfer money between people or businesses without using a credit card would be on the way out. The fact that there is no competitor to these products that a normal person can use proves that crypto is useless.

This morning, I walked into a bank and withdrew cash. I then walked down the street to another bank and deposited the cash. Then I sent that cash via Zelle to a vendor who is going to do a painting project for one of my clients. This was an incredibly stupid process (again, that crypto could have done for me if it worked like the advocates said).

At least the teller wished me a happy birthday after looking at my ID.