ErnestEndeavor said:
"We are slowing down because we are the good guys" sure sounds a lot better than "LLMs are no longer scaling the way we hoped and we are incapable of acheiving the rate of improvement we've been promising our investors."
Think it's moreso they're compute constrained, because their CEO doesn't understand the kind of financial leverage he has in terms of capital raising and debt when it comes to building infrastructure. Goober went on Dwarkesh and said they were at a $10 billion revenue run rate, heading to $100 billion the following year and if he projected a $1 trillion revenue for 2028 with an equivalent spend on compute and his revenue fell short at $800 billion he'd be bankrupt.
Like banks want a default on $1 trillion loan because growth was lower than expected. They want payments. They want your growth. They'll give you the year to catch up and you slow expansion incrementally.
He's smart, but he lacks Elon's balls. Elon is an optimistic projector, an aggressive pursuer and understands at that scale if things don't go to plan you can fix it because everyone's got pain if you don't. It's not a mortgage on a $1 million home. Why Dario is going to Elon for incremental compute at a premium.