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this post was submitted on 23 May 2026
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Technology
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I think AI will be profitable for the next generation of AI business models that emerge from the abandonment of the current business model of developing the frontier. But the prerequisite is that the companies give up on developing the frontier and decide that the models they have are good enough, then get hardware optimized for inference on those models, stagnating into long term commodity infrastructure, like providing phone service or electricity for profit.
So yeah, I think many of these technologies are here to stay, but the growth will stagnate this year as data center construction swallows up companies that overextended.