Number “2” is a composite that looks like this:
1. You get a customer to pay $200 a year for an AI app (like Cursor).
2. Cursor pays OpenAI $500 for API tokens ($300 of which is VC funding).
3. OpenAI pays AWS $1000 for compute ($500 of which is VC funding).
4. $AWS pays $10k for $nvda GPUs.
That’s number 2…..
See the problem?