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Started my own youtube channel, thought it was appropriate to outline how we got here and the likely decline of physical media.
Not a first out the door but a last out the gate strategy from Sony.
Check it out, a sub is always appreciated: https://t.co/0hlx7UADba
@disparutoo Can we do an estimate of the amount of 'financial damage' Marc Malkin has done to Hollywood? Right now it could honestly be in the hundreds of millions...
@Pirat_Nation lol. And let me guess; I have to update my firmware to get this ‘revolutionary’ new feature…
Incredible what new and innovative technology is unlocked once your console is hacked open…
@joshallen2real@YoshitsuneCr@Pirat_Nation Well that a separate issue that I have no doubt Sony is debating. Once they start banning users and locking them out of their digital purchases it might add gasoline to very small fire.
The benefits to hacking the PS5 right now are extremely hard to ignore.
This was the exact moment Zuckerberg realized that he will be a massive winner in the AI race
OpenAI and Anthropic were desperately asking for regulation because tokens are being commoditized by open source alternatives
The only option for them was to keep reducing token costs to compete. The only problem? They already made commitments for hundreds of billions in capex.
At a certain price, the return on capital simply doesn’t make any sense
So they came to the realization that the only way to sustain their trillion dollar valuations was to either:
1. Become entrenched through regulation by preventing other models from gaining share
2. Fight up market and become vertically integrated by building platforms in the application layer
The second one is where Zuckerberg has a massive advantage vs both of the frontier model companies
He already has a massive user base with nearly a third of the entire world as monthly active users
He already has multiple platforms that are cash cows for his business, that also require very little capital investment each year
Meta could stop spending on their family of apps tomorrow and these platforms would still generate billions of free cash flow each year
In essence, he can subsidize losses on any AI platform, such as Muse, longer than any of his competitors can
This gives him time to simply just bleed out Anthropic and OpenAI, especially when it comes to the consumer facing application layer of AI
Trump refusing to give in to Dario and Sam’s requests is a massive win for Meta and Zuckerberg. That is why he can’t hold his smile here
There is some merit to that, but there is also the idea of ‘physical product and services’
Meta already has a huge installed user base. Zuck only needs to integrate his AI into his already existing funnels and he can be profitable earlier, longer, and faster than his competitors.
That’s the problem. Most people who actually have real use for AI build their models. The mass public don’t actually have a major use for them outside of search. So how do build an audience on super advanced service which is both specialized and dependent on your audiences own need to ‘ask’?