Oh my god, the Apple/OpenAI deal is so weak. Apple paid them nothing, and as @markgurman.bsky.social reports, it could end up costing OpenAI a ton of money if people actually use it at scale. Apple even takes a cut if people subscribe to ChatGPT Plus. Where's the profit, Sam?
t.co/MGTdWeJsyG
Apple hitting OpenAI with the "paid in exposure," except this is like being a freelancer who has to do the work for free on the off chance one of the people decides to pay them in the future for something that they can get for free anyway
these ai guys being true believers in the tech always being 𝘫𝘶𝘴𝘵 𝘢𝘣𝘰𝘶𝘵 to change the world utterly wrecks any long-term planning ability they may've previously had
Yes. Given any cost of delivery, 'get paid in exposure' deals make more sense if the product sucks.
Maybe Sam Altman knows that AI sucks. Does Apple know?
On the one hand, Sam Altman, on the other, the absolute maniac alligator shark wolves Apple uses to do these kinds of deals. I'm surprised that Altman got out of the room with as favourable a deal as he did.
This is what you get when you ask your AI to come up with your business plan.
I guess they figured that taking a loss is OK if they can make it up in volume.
specifically, if Apple did not partner with OpenAI in a very public way, regardless of if that's actually a good deal for OpenAI, which this is not
every time you use OpenAI on an Apple product there's gonna be a little "lol r u sure?" that pops up and if they think that's GOOD PR...
I also don't know if there's a clear first-to-market benefit here, either. Inertia, maybe, but if apple later switches to Gemini or Claude or whatever, it'll be basically the same on the user end.
I think the primary motivation is pure, unadulterated desperation - they needed to be seen making Big Deals to justify their world shaking valuation, and since I really really bet they thought the financial details would stay confidential, they thought this looked good enough
Certainly worried about being an option with Apple, as Apple said they'll open it up to other bots in time. Even then, Apple can, at any moment, put OpenAI under the gun again with "we're ready to hand off to any chat bot users choose." One way or the other, Apple will make it make them money first.
Step 1, Build a resource devouring flaming turd no really wants.
Step 2, Use helicopters of money to pay gigantic companies to host and half ass promote your flaming turd lite.
Step 3, Profit!