Latest / AI for Founders with Ryan Estes
The AI Hype Machine Is Crashing: Time to Panic?
AI is supposed to be the future, but the numbers tell a different story. OpenAI spent $9 billion last year to generate just $4 billion in revenue. Every ChatGPT prompt costs more than it makes. Generative AI scales in reverse—more users mean higher costs, not lower. Big tech is pouring billions into AI infrastructure, yet products like Copilot and Gemini have underwhelming user numbers.
So where is the money coming from? And how long before investors start asking the same question?
In this episode of AI for Founders, we break down the economics of generative AI, the unsustainable costs, and…
The skinny
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