The Hidden Cost of AI Growth
OpenAI's revenue is skyrocketing, but the economics of AI might be a structural trap. Here is why the traditional software model doesn't apply.
What the video says
OpenAI's revenue just grew 3.5 times. Financials leaked ahead of their IPO reveal this massive surge, but intense price competition could make AI a structural trap.
Traditional cloud hyperscalers enjoy over 60% gross margins because their compute costs remain relatively small. But AI inference costs scale linearly with usage, unlike traditional software where adding users costs practically zero.
