Technology

For the level of investment in and hype around this company? Yes, those enterprise sales are abysmal

I don't see the connection. How are enterprise sales specifically relevant here ? Are enterprise customers known for jumping on top of early stage products where you're from ? Cause where i'm from they're known for being the last ones to board.

They have demonstrated zero ability at actually “hyperscale”.

How would you define hyperscale ? They have one of the biggest GPU fleets around and are likely serving trillions of tokens monthly. That falls well within the range of my personal definition.

They have no path to getting those costs down. Their conversion rate from free to paid users is atrocious, and they’re already raising prices on their plans which is only going to worsen those conversion rates

That's just stuff you say. Atrocious (in your opinion), no path to getting those costs down (in your opinion). Alright, we get it, that's not a company you'd invest in, but then again your investment thesis seems pretty conservative. If a company has to make billions of enterprise sales in its 2nd year, and have double digits conversion early on, then there's not that many successful companies you would have invested in. You certainly wouldn't have put a dime in Uber at 48B valuation 7 years ago - well those who did made a nice return on their investment.

Is it possible that they could be successful? Yes. But a lottery ticket would probably be a sounder investment.

Isn't that the definition of VC-backed startups ? The alternative would be to build a time machine, travel back to the 18th century, and invest in the British textile industry. Sadly they don't make this kind of predictible, risk-free and quickly profitable enterprises nowadays.

Absolutely oozing confidence there

Oh i won't be the one to contradict you here. Sama is one sleazy motherfucker, that's just written on his face. Sadly it doesn't preclude him from building a historical hyperscaler with OpenAI.