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It’s too soon to be talking about the curse of openai, but we’re going to anyway Has ai finally jumped the shark Since september 10, when oracle announced a $300bn deal with the chatbot maker, its stock has shed $374bn in.
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Openai did very nicely out of its power to reflect glory, most notably in october when it took amd warrants as part of a chip deal that bumped share price by 24 per cent In what was meant to be the crowning achievement of larry ellison’s career, oracle’s securing of a $300 billion contract with openai has instead triggered a paradoxical financial crisis But oracle is not the only laggard
Broadcom and amazon are both down following openai deal news, while nvidia’s barely changed since its investment agreement in september.
Two months in, the compute megadeal between oracle and openai is a losing proposition for oracle, the financial times reports. Openai has gone wild with compute deals this year, committing to spend far more than its balance sheet can currently sustain So who takes the fall if it can’t pay
