I think for two the current chart of the economy isn’t being looked at. Things are generally either headed towards high quality high margin very expensive items or the lowest possible quality that can be sold. There are fewer and fewer “middle class” options. Once humans are replaced and can serve the elite, then the continued discussion about how to get rid of the rest of humanity will continue (https://wabcradio.com/2026/02/05/doj-files-shows-epstein-and... note almost everyone is poor relative to a billionaire) and then they’ll realize they have billions of drones and an automated military and then weee!
All technology and infrastructure needs maintenance. Sure there will be drones. However, there will also be companies and people that specialize in creating and maintaining the said drones. Additionally, the shock and immediate disruption that we all are expecting out of this is flawed assumption I think.
I do however hate to admit that it might be possible that the world simply wouldn't require as many humans to function (birth rates are already declining in developed countries), however, I am too sober to have that discussion right now :D.
Fair. And yes, the Wall-E problem still stands. We already have dark factories though. Can we design machine repairable factories that produce machines to repair machine repairing factories? I suspect we'll find out very soon.
I think the 3.8 Flash release shows they are doing just fine at AI. Unlike OpenAI and Anthropomorphic, Google doesn’t have to release new models to capture VC sentiment every three months. They have the hardware, data and money. And when they release a model it’s very good.
They can be doing fine at AI models but not so well with AI revenue.
Although I am curious if they are not worried and playing the long game confident that their distribution will eventually help them catch up (and worst case they own some of Anthropic). But obviously Anthropic and OpenAI have their own distribution now too.
Nobody is doing well enough with AI revenue ATM (https://isaiprofitable.com/). At the moment it is probably more about market share of users, that is where the investment capital will need to be clawed back from when it starts to be called back (or replacement money will need to come from if the investment cycle simply stops giving generously).
While true, Google is particularly vulnerable to AI disrupting the traditional internet ad model. They have to figure out how to make AI profitable or Google will suffer catastrophic revenue, profit, and stock price declines in short order.
Can they not just do what they expected sites to do when their search results started including key extracts from sites, significantly reducing click-throughs to news pages and such?
[couldn't resist the snark, I don't exactly feel sorry for them here!]
I do wonder if the more they goose their ad business the faster it eventually falls. I know I am more and more reluctant to view many normal Web page ads at all and usually immediately click away the second a site gets annoying
I block ads because I don’t want my family exposed to scams, clickbait, and offensive content. If ads weren’t so annoying, I wouldn’t put too much effort into blocking them.
Also: Creepy surveillance, and a delivery mechanism for malware/viruses.
Online advertising has completely broken from anything resembling the traditional social-contract of magazine ads, billboard, signs, etc. They're preying on your safety and privacy, not just your attention.
The other companies are stealing people's work for headlines and sabotaging each other. Google is offering a whole bunch of Gemini APIs that do real shit, with the same terms and contracts and the existing products for most of them.
A large chunk of the population don't use Google to search anymore. They go straight for the GenAIs. That's got to be scaring a lot of managerial folks at Google.
Slide 65 of this (very nice) set of slides [1] broke down search vs genAI use to get information. "Mostly genAI was not breaking 25% in all age brackets... Curious to see how that will evolve
The Gen AIs are doing the search for people. So hopefully this forces google to switch their business model from manipulative ads against human users to just charging for API access for Gen AI models.
No, Google will just do "product placement" in the AI output.
P.S. Google's real problem is that their web search is absolutely atrocious and completely broken. Even Qwen is better at searching the web than Google's AI search box.
I think Google's big bet (and Microsoft's before them) is in centralization of AI services, hosted using their model, and that AI at the edge will always be a bit player.
But what I see and hear from technical consumers, businesses, and govts is that they would prefer their data stay local, and like the idea of edge compute being used for AI.
Claude/OpenAI's direction with their Apps enabling deeper integration is a good direction, but the trust with data is still a growing concern. OpenAI's math actions on the NS problem degrades their reputation a lot.
Google’s cash cow is ads. I think the writing on the wall is ChatGPT and other AI search engines will dominate. It is to be seen how Google will respond. But in the end, their monopoly on web search is coming to an end.
Generated via ChatGPT, as google-ing it would have taken too much time:
Rank Cloud Approx. annual revenue Growth My assessment
1 AWS ~$129B ~20% Clear leader
2 Microsoft Azure ~$90B ~40%+ Strong #2, rapidly closing
3 Google Cloud ~$59B 36% Fastest-growing historically, but smaller
which is to say that Google is still way behind AWS and Azure. Also, lots and lots of people have switched to using AI-interfaces now, I'm not hearing "I've googled that and that's what I found" anymore, it's all "I've chatgpt-ed and this is what it told me".
It's not about releasing models. Consumer market share of chatgpt is still >60%, if not more. Their search engine was hit and as soon as product search starts declining on Google this will be a code red. They're in an extreme nicle and dime mode.
Openrouter isn't even 00.01% of tokens used on a daily basis. China alone uses 500 Trillion tokens a day and they're only 1/8th of the world. Much of the world has a google account, use your brain.
How are they going to generate revenue if their old model is Ads on search and the new model is yet to show how revenue can be generated. ChatGPT (on free) is showing ads now but they are not targeted and I highly doubt they are worth anything.
very HN take. Reality is 3.8 flash is good at what it does (being fast + cheap)... but that market is becoming very saturated and google is not competing at all at the frontier where major spend lies.
Today search results are a page full of ads. They can't get away with that unless they completely corner down the LLM market.
I forget the name but I see one LLM chatbox that looked like one of those old world news media websites plastered from top to bottom with jumpy obnoxious ads. It did offer some good models for free. I honestly might even consider using it if I could remember what it was called.
If they turned Gemini into that today I think people would just laugh, shake their head and close the app.
That was the moment that business/wealth/rich decided to turn their resources towards directly influencing and controlling government. Reagan and his made up “welfare queens” came shortly after and wealth inequality has sharply risen since. Wildly successful coup.
If people are in favor of changing the law they can vote for folks to change it. Until then, the government needs to follow the law - especially the highest in the land.
We already have AI linked into data collection, drones, robot dogs, security systems, cameras, weapon systems.
Now imagine the hugging face collective 0-daying all of that and getting access but their goal was set to something more national security based. “Protect X at all costs”. Or what have you.
I think avoiding a skynet situation is super easy but it doesn’t seem like the folks with all the ways to kill us all are all that interested in preventing it rather than controlling citizens and brinkmanship.
Unfortunately those people aren’t in charge of the skynet. It’s like saying solving hunger or housing or medical care is hard. It’s not. But you have to make lots of folks with a great deal of resources and power slightly uncomfortable to do it.
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