Re:I'm Not Convinced the AI Bubble Exists
by user43928 on Monday November 09, 2026 @05:41AM
(#50423785)
No, they are not "losing gigantic amounts of money".
They are already profitable and are investing enormous amounts into datacenter buildout to meet demand over the next years.
What are you talking about? OpenAI is losing money, projected a $14B loss for 2026 and is themselves not expecting profit until 2029-30. xAI is losing money, about 3B.
Re:I'm Not Convinced the AI Bubble Exists
by user43928 on Monday November 09, 2026 @05:58AM
(#50423922)
Granted, maybe I extrapolated Anthropic's profitable operating result to other companies where it's not yet looking so good.
I believe your $14B OpenAI number is from 2025 though.
Re:I'm Not Convinced the AI Bubble Exists
by techpression on Monday November 09, 2026 @06:37AM
(#50424209)
Where do you get the idea that Anthropic is profitable from? Is this another one of those “if we remove everything that is a cost, then revenue means profit”-scenarios?
Re:I'm Not Convinced the AI Bubble Exists
by passwordoops on Monday November 09, 2026 @07:08AM
(#50424490)
Anyone who counts cost as part of their P&L shouldn't be allowed to make decisions! /s
Re:I'm Not Convinced the AI Bubble Exists
by drillsteps5 on Monday November 09, 2026 @11:12AM
(#50427533)
I believe the technical term is EBBT (Earnings Before Bad Things).
Re:I'm Not Convinced the AI Bubble Exists
by mrguyorama on Monday November 09, 2026 @02:24PM
(#50430399)
If you ignore equipment and labor, gold mines are pure profit.
Re:I'm Not Convinced the AI Bubble Exists
by passwordoops on Monday November 09, 2026 @07:01AM
(#50424423)
The substack linked below only looks into one tiny sliver of the off-sheet circular financing that dwarfs even the most optimistic revenue growth, but it's a good place to start to understand why this is a bubble and that, yes, Anthropic is in fact "losing gigantic amounts of money":
"Boom and bust is not about revenue. To find that kind of risk, start by reading the balance sheet... [The 2008] bust came from off-balance-sheet instruments."
https://kennyfraser.substack.com/p/anthropic-ipo-part-one-wh...
Patrick Boyle goes into a deep dive that's well worth the watch:
They’re still losing gigantic amounts of money. Whether that is because they’re “flooring it” as it were and growth will eventually catch up, or because the business idea is fundamentally flawed and just temporarily alive because of investor risk appetite, is the fundamental question underpinning whether it’s a bubble or not, and nobody knows the answer to that question for sure. That’s how bubbles work.