This is why I feel places Google/Microsoft/Amazon have the longer term edge. They simply have much longer run ways to get these systems to profitability than say Open AI & Antropic. TheY later are are relying soon to happen IPO money and trying to monetize these systems ASAP, others like Google can subsidize these things for so much longer.
"The profits of big cloud-computing firms (Amazon, Google, Meta, Microsoft and Oracle) are rising inexorably. Yet the amount of cashflow they generate after capital spending is falling."
This is why I feel places Google/Microsoft/Amazon have the longer term edge. They simply have much longer run ways to get these systems to profitability than say Open AI & Antropic. TheY later are are relying soon to happen IPO money and trying to monetize these systems ASAP, others like Google can subsidize these things for so much longer.
"The profits of big cloud-computing firms (Amazon, Google, Meta, Microsoft and Oracle) are rising inexorably. Yet the amount of cashflow they generate after capital spending is falling."