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Ed Zitron
@edzitron.com
170K followers 2.7K following 25K posts
British, But In Las Vegas and NYC
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Newsletter - wheresyoured.at
https://linktr.ee/betteroffline - podcast w/ iheartradio
Chosen by god, perfected by science
CEO at EZPR.com - Award-Winning Tech PR
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edzitron.com
Ed Zitron @edzitron.com · 3d
Based on analysis of years of revenues, losses and funding, since 2023, OpenAI has taken in $28.6bn in cash and had $13.7bn in losses.

However, reports say OpenAI ended 1H 2025 with $9.6bn in cash - suggesting OpenAI's losses are billions higher than reported.

www.wheresyoured.at/where-is-ope...
Where Is OpenAI's Money Going?
Soundtrack: Queens of the Stone Age - Song For The Dead Editor's Note: The original piece had a mathematical error around burnrate, it's been fixed. A few days ago, Sam Altman said that OpenAI’s rev...
www.wheresyoured.at
edzitron.com
Is that good
international.cnbc.com CNBC International @international.cnbc.com · 6h
Japanese giant SoftBank said Tuesday it has sold its entire stake in tech giant Nvidia for $5.83 billion.

Click here to read more: https://cnb.cx/49LCIs8
November 11, 2025 at 7:36 AM
edzitron.com
Very peculiar. Why is this very similar story involving both the supposed costs and supposed revenues - but tilted in Anthropic’s favour - running in both the information and WSJ? Why is Anthropic so desperate to tell everyone it’ll be profitable by 2028 all of a sudden?
The information - As OpenAI and Anthropic seek to make similar breakthroughs in artificial intelligence, their financial paths may be headed in different directions. Both companies produced financial projections a few months ago that show a divergence in how much they plan to spend on computational resources, which make up the vast majority of their costs. While OpenAI projected spending about $235 billion on costs to train and run its AI models this year through 2028, Anthropic planned to spend less than a third of that amount in its optimistic forecast, slowing down its spending growth in the coming years, previously undisclosed figures show. WSJ: The finances of Silicon Valley's two largest artificial-intelligence startups show their diverging approaches to the AI boom, with Anthropic on a pace to turn a profit far more quickly than rival OpenAI, according to documents obtained by The Wall Street Journal. Anthropic, which has a growing number of business users because of the capabilities of its Claude chatbot in coding and other arenas, expects to break even for the first time in 2028, the documents show.
November 11, 2025 at 6:38 AM
edzitron.com
Forbes estimates OpenAI is blowing $15m a day on Sora. Sure, why not? I bet OpenAI’s inference costs are absolutely horrifying
www.forbes.com/sites/phoebe...
Here’s How Much Cash OpenAI Is Burning On AI Video App Sora. What It Means
Some back-of-napkin math suggests OpenAI is spending more than a quarter of what it’s making to power the AI slop factory.
www.forbes.com
November 11, 2025 at 3:18 AM
edzitron.com
Thought Masters: Wisdom Warriors
freydalpishti.bsky.social 𝔎𝔯𝔦𝔰 𝔉𝔯𝔢𝔶𝔡𝔞𝔩 🇺🇦🇵🇸 @freydalpishti.bsky.social · 13h
*maximum alpha at 1.25x speed* continuously lives on in my head, unfortunately.
November 11, 2025 at 2:38 AM
edzitron.com
[I grab a slice of pizza, but the toppings begin to slip off]
Peyton Manning, getting out of seat: get the fumble get the fumble
[it slips off, falling on my jeans]
Peyton Manning: ohhh, no
Eli Manning: that’s gonna be on his pants all night
edsbs.bsky.social BUM CHILLUPS AKA SPENCER HALL @edsbs.bsky.social · 11h
Me: [drinks straight from OJ carton]

Troy Aikman, appearing from behind the fridge door: That’s why he struggles, Joe, and it’s not getting better
November 11, 2025 at 2:36 AM
Reposted by Ed Zitron
rivertam.bsky.social
November 10, 2025 at 9:28 PM
edzitron.com
Mind Masters: Brain Battalion
November 11, 2025 at 2:31 AM
Reposted by Ed Zitron
theonion.com
Trump Threatens To Sue BBC Over Misleading Edit Of ‘The Vicar Of Dibley’ https://theonion.com/trump-threatens-to-sue-bbc-over-misleading-edit-of-the-vicar-of-dibley/
Trump Threatens To Sue BBC Over Misleading Edit Of ‘The Vicar Of Dibley’
November 10, 2025 at 8:30 PM
edzitron.com
At some point I might just write “what if everybody is wrong?” because there is a chance I believe nobody bothered to work out if any of this would make a profit or, indeed, whether you’d be able to power the data centers themselves
edzitron.com Ed Zitron @edzitron.com · 19h
Amazon just sued one of the largest power companies in Oregon after it failed to power up two data center (one without enough power and one with no power at all) campuses that were meant to be ready *in 2021*. Sure hope this isn't an industry wide problem!
www.datacenterdynamics.com/en/news/amaz...
November 10, 2025 at 7:16 PM
edzitron.com
Amazon just sued one of the largest power companies in Oregon after it failed to power up two data center (one without enough power and one with no power at all) campuses that were meant to be ready *in 2021*. Sure hope this isn't an industry wide problem!
www.datacenterdynamics.com/en/news/amaz...
November 10, 2025 at 6:13 PM
edzitron.com
please stop sending me this story, i have been sent it 25+ times, @parismarx.com covered it before Australia decided to threaten Microsoft, but there's nothing much more to add other than "yep"
disconnect.blog/ive-had-it-w...
November 10, 2025 at 6:06 PM
edzitron.com
Me, two weeks ago
www.wheresyoured.at/big-tech-2tr...
As we speak, big tech is hoarding masses of GPUs, and by extension, masses of depreciating assets that will without fail lead to a massive impairment loss, which will come directly out of their earnings, and when they’ve spent tens or hundreds of billions of dollars on GPUs, these impairments will be extremely harsh, and come directly out of earnings. So, on top of spending hundreds of billions of dollars in capital expenditures, big tech is also conjuring a giant anvil above their heads. GPUs start losing value the moment you buy them, and by purchasing hundreds of billions of expensive, ever-rotting assets, big tech guarantees their revenues will take a hit sometime in the future, and likely multiple times as each generation ages. Let me put it in really simple terms, and use a hypothetical example. Ten companies bought $10bn of GPUs each to sell AI services, each requiring billions of dollars of data center infrastructure to go on top of them to make them run. As a result, one of the companies — let’s call them BallWeave — has had to take on an absolute shit ton of debt to buy them. BallWeave eventually runs into solvency issues, and has to start selling off masses of GPUs, massively reducing the market value of these GPUs by 30%. This causes the other 9 companies to have to take an immediate impairment — a $3bn haircut directly off of their balance sheet. There is no spreading it out. This is a problem, in part because $3bn is a lot of money, and in part because that’s more than the revenue being generated from AI. The impairment has an immediate negative effect on their assets, while also directly eating into their income, because this shit is almost certainly being financed. This hypothetical scenario is quite real, and it can hurt you, and will hurt any and all companies buying masses of GPUs. One last thing: Remember how I said that there are many ways to calculate depreciation over the useful lifetime of an object? Well, the depreciation rate is always the difference between the initial value of the item and its salvage value — which means how much a company can expect to make when they dispose of the item, either by reselling it or literally scrapping it for parts. So, for the sake of illustration, if a GPU costs $50,000 and has a useful life of five years, after which it has a nominal salvage value of $10,000, the amount said company could mark down as depreciation over that lifespan is $40,000. This is simply me talking out loud, but I worry that there’s no real way to accurately predict what that salvage value of an enterprise GPU will be. It’s contingent on a bunch of factors — namely, how long these cards last in real-world conditions, where they’re experiencing near-constant utilization, as well the pace and the quality of Nvidia’s future releases. It’s bad, and only compounds the fact that they’ve already created a giant, ugly, unsustainable hole on top of their earnings.
November 10, 2025 at 5:09 PM
Reposted by Ed Zitron
davidgerard.co.uk
A useful model for "AI agents" is that they're the current excuse meme for AI. They're not a thing that works at all, now or in the fabulous future. But they're *such* good material for hypecrafting.
November 10, 2025 at 10:12 AM
Reposted by Ed Zitron
lawrencehurley.bsky.social
NEW: Supreme Court rejects long-shot effort to overturn ruling that legalized gay marriage:
www.nbcnews.com/politics/sup...
Supreme Court rejects long-shot effort to overturn same-sex marriage ruling
The court turned away an appeal filed by Kim Davis, a former county clerk in Kentucky who was sued after refusing to issue a marriage license to a gay couple.
www.nbcnews.com
November 10, 2025 at 2:33 PM
edzitron.com
You need to use a VPN, but Arte TV did an entire studio quality professionally shot version of the incredible orchestral Queens of the Stone Age concert. It really is amazing, unbelievable quality.
www.arte.tv/en/videos/12...
Queens of the Stone Age - Baloise Session 2025 - Watch the full programme | ARTE Concert
After electrifying the Paris rock scene with their ‘Alive In The Catacombs’ concert in 2024, Queens of the Stone Age are coming to Switzerland. Josh Homme's band revealed a new side to themselves in t...
www.arte.tv
November 10, 2025 at 3:49 AM
Reposted by Ed Zitron
edzitron.com
Based on analysis of years of revenues, losses and funding, since 2023, OpenAI has taken in $28.6bn in cash and had $13.7bn in losses.

However, reports say OpenAI ended 1H 2025 with $9.6bn in cash - suggesting OpenAI's losses are billions higher than reported.

www.wheresyoured.at/where-is-ope...
Where Is OpenAI's Money Going?
Soundtrack: Queens of the Stone Age - Song For The Dead Editor's Note: The original piece had a mathematical error around burnrate, it's been fixed. A few days ago, Sam Altman said that OpenAI’s rev...
www.wheresyoured.at
November 7, 2025 at 5:35 PM
Reposted by Ed Zitron
jeffhorwitz.bsky.social
Meta earns $3.5 billion every six months from showing Faceboon and Instagram users 15 billion “higher legal risk” scam ad impressions a day, internal documents state.

That haul vastly exceeds how much the company expects regulators
To fine it for running scam ads.

www.reuters.com/investigatio...
www.reuters.com
November 6, 2025 at 11:46 AM
edzitron.com
Being in the nfl sucks. You score a touchdown and everybody hits you in the helmet. Shouldn’t they be celebrating?
November 9, 2025 at 9:36 PM
Reposted by Ed Zitron
edzitron.com
Forgot to mention this is a premium newsletter, so please do subscribe, I work very hard on them and they're all thousands and thousands of words, every single week. I've missed one Premium newsletter since June.
edzitron.com Ed Zitron @edzitron.com · 3d
Based on analysis of years of revenues, losses and funding, since 2023, OpenAI has taken in $28.6bn in cash and had $13.7bn in losses.

However, reports say OpenAI ended 1H 2025 with $9.6bn in cash - suggesting OpenAI's losses are billions higher than reported.

www.wheresyoured.at/where-is-ope...
Where Is OpenAI's Money Going?
Soundtrack: Queens of the Stone Age - Song For The Dead Editor's Note: The original piece had a mathematical error around burnrate, it's been fixed. A few days ago, Sam Altman said that OpenAI’s rev...
www.wheresyoured.at
November 7, 2025 at 8:34 PM
Reposted by Ed Zitron
citymystic.bsky.social
open.substack.com/pub/houseofm...

Wrote about Zohran, being burned too many times to feel hopeful, and how moving through that can lead to something more sustainable: faith.
It's ok to be Hopeless
On elections, fear, swapping out hope with faith
open.substack.com
November 7, 2025 at 7:55 PM
edzitron.com
The G-Man is how it would sound if you read out Cam Newton’s instagram posts phonetically
November 8, 2025 at 5:52 PM
edzitron.com
Absentmindedly walked up to the toilet door at the bar and said “toilet?” as I checked if the toilet door was locked. I turned around and a guy was just staring at me
November 8, 2025 at 12:31 AM
edzitron.com
The premium this week is the precursor to something I'm working on coming out in the next week or two (which will be free). But one thing I can't stop thinking about - how has nobody else simply added up all the funding and revenues and costs? Hell, I should've done it months ago.
edzitron.com Ed Zitron @edzitron.com · 3d
In an analysis of OpenAI's costs, revenues and funding from 2023 to 1H 2025, it raised $28.6bn in cash ($10bn rev included), and had $13.7bn in cash losses.

Reports say OpenAI ended 1H 2025 with $9.6bn. It should have $14.9bn in cash. There's a $4.1bn+ hole.
www.wheresyoured.at/where-is-ope...
A Brief History of OpenAI’s Revenues and Costs If there are other articles reporting OpenAI's revenues or costs, please do get in touch. But I don't think anybody has ever done a full run-down. Behold! On February 9, 2024, The Financial Times said that “OpenAI’s revenues have surpassed $2bn on an annualised basis,” with the company apparently hitting it “In December 2023,” according to “two people with knowledge of its finances.” There was no mention of any comment related to OpenAI in this article. On June 12, 2024, The Information reported that “OpenAI has more than doubled its annualized revenue to $3.4 billion in the past six months or so, OpenAI CEO Sam Altman has told staff.” This amounts to around $283m in revenue a month at the end of calendar year Q2 2024. This appears to be sourced from something that Sam Altman told staff. Curiously, this is the only time I’ve seen OpenAI comment on one of these stories, with “...an OpenAI spokeswoman [saying] the financial details were “inaccurate,” without elaborating.” I have read every single one of these and I cannot find another instance of this happening. This makes me believe, along with other information from sources, that these numbers are particularly accurate. This article also confirms that OpenAI gets a “roughly” 20% revenue share cut from Microsoft selling its models. On July 24, 2024, The Information published that OpenAI “could lose as much as $5 billion” in 2024, “according to an analysis by The Information, based on previously undisclosed internal financial data and people involved in the business.” Spokespeople for Microsoft and OpenAI did not have a comment. On September 27. 2024, the New York Times reported that “OpenAI’s monthly revenue hit $300 million in August…and the company expects about $3.7 billion in annual sales [in 2024],” according to a financial professional’s review of documents. That’s $300m in revenue in the month of August 2024. Details are important. OpenAI declined to comment. On October 9, 2024, The Information reported that “OpenAI burned $340 million in the first half of 2024” and that its “cash burn was lower than previously thought,” based on “OpenAI financial documents viewed by The Information.” These documents also “project [OpenAI’s] total losses between 2023 and 2028 to be $44 billion” not including stock compensation, and, laughably, that OpenAI would “make $14 billion in profit [based on the analysis] in 2029.” OpenAI also, in this document, said that “model training costs could rise sharply in the next couple of years, to as high as $9.5 billion a year in 2026.” This same piece included projections that OpenAI would make $12bn in 2025, $26bn in 2026, $44bn in 2027, $69bn in 2028, and $100bn in 2029. There was no mention of any comment related to OpenAI in this article. On February 21, 2025, The Information reported that OpenAI forecasted that “one-third of [its] revenue growth would come from spending by SoftBank to use OpenAI’s products across its companies,” with SoftBank spending $3bn per year. It took until November 5, 2025 for the joint venture involving this spend to actually form. This is sourced to disclosures by OpenAI to its investors. This piece also asserts that $3bn from SoftBank would get OpenAI to $12.7bn in revenue for 2025. There was no mention of any comment related to OpenAI in this article. In this piece, The Information reports that “...[OpenAI’s] spending on Microsoft-owned data centers should ramp up significantly in the next few years, more than doubling from $13 billion this year to $28 billion in 2028.” On March 26, 2025, Bloomberg reported that OpenAI “expects to more than triple its revenue to $12.7 billion in 2025,” and that it generated “$3.7 billion in annual revenue last year,” according to a person familiar with the matter who “spoke on condition of anonymity to discuss internal communications. In the piece, Bloomberg states that “OpenAI does not expect to be cash-flow positive until 2029, t… On June 9, 2025, an OpenAI spokesperson told CNBC that it had hit “$10 billion annual recurring revenue,” excluding licensing revenue from OpenAI’s 20% revenue share and “large, one-time deals.” $10bn annualized revenue works out to around $833, a month. This news also revealed that OpenAI had reached $5.5bn in annualized revenue in December 2024, or $458m. I have some fucking questions. Why is OpenAI deliberately excluding that cut? Is it because Microsoft didn’t authorize it? What exactly is the time period that “annualized” covers? What are these “large, one-time deals” and why wouldn’t you include them in revenue? On September 5, 2025, The Information reported that “OpenAI projected its cash burn this year through 2029 will rise even higher than previously thought, to a total of $115 billion.” None of this information is sourced in a way that I can see. It’s the strangest thing. The only mention of anything like that is to say that one thing — that OpenAI would consider renting out servers to other companies — was “according to recent comments by OpenAI executives.” While I can’t speak to how this information got the reporter, it feels like this was OpenAI. There is no mention of asking anyone for comment. Nevertheless, this piece says that: OpenAI’s cash burn would be around $9bn in 2025 (though the copy says $8bn, the “Cash Crunch” graph says $9bn), around $17bn in 2026, around $35bn in 2027, around $47bn in 2028, around $8bn in 2029, and then, inexplicably, have a positive cash flow of $38bn. Huh? The piece also mentions that cash burn would be “more than $10 billion higher” than previous cash burn projections from OpenAI, without linking to or sourcing where they received that information (though it’s potentially part of their source’s info). This piece also vastly increases revenues, saying that OpenAI will make $13bn in revenue in 2025, $30bn in 2026, $60bn in 2027, $100bn in 2028, $145bn in 2029, and $200bn in 2030. On September 10, 2025 — five days after a story saying OpenAI would burn $35bn in 2027 — Oracle and OpenAI announced a $300bn, five-year-long cloud deal. I believe this was intentional as this deal is not reflected in the cash burn above. On September 19, 2025, The Information reported that OpenAI “planned to spend about $100 billion renting backup servers from cloud providers over the next five years,” according to what executives have told shareholders. According to The Information, “including the backup servers, OpenAI is planning to spend about $85 billion a year on server rentals over the next five years, on average, according to the company’s private projections.” Yet deeper in the piece, The Information added that “OpenAI plans to spend $450 billion renting servers through 2030, including $100 billion in backup servers it says are ‘monetizeable’.” There is no mentioned request for comment. On September 29, 2025, The Information reported that OpenAI “generated around $4.3 billion in revenue in the first half of 2025, about 16% more than it generated all of last year, according to financial disclosures to shareholders.” OpenAI “burned $2.5 billion” in the first half of 2025 (assume all following statements are from that time period). OpenAI spent $2bn on sales and marketing. OpenAI spent $6.2bn on research and development, which The Information believes is due to research compute costs. OpenAI “looked on track to meet its full-year revenue projection of $13 billion and $8.5 billion of cash burn.” There is no mentioned request for comment. On October 31, 2025, The Wall Street Journal reported that Microsoft had mentioned in its recent earnings that it had taken a $4.1bn loss on its investment in OpenAI, implying a more than $12bn quarterly loss at the company due to Microsoft’s 32.% stake in that quarter (which has now dropped to 27%). The reason I exhaustively wrote this out is that when you lay it all out, a pattern develops: OpenAI is bullshitting its projec…
November 7, 2025 at 9:56 PM
edzitron.com
every single person booing or jeering here should have tomatoes thrown at them
November 7, 2025 at 9:30 PM
edzitron.com
this feels like a picture custom-built for somebody to epic-post off of but nevertheless, putting aside the cross-dressing scene or what have you, FF7 (a game I love) had tons of bugs
eyepatchwolf.bsky.social Eyepatch Wolf @eyepatchwolf.bsky.social · 3d
“0% woke shit”

a black man with a physical disability leads an environmental terrorist cell trying to save the planet from mega-billionaires and you play as a cross dressing twink femdomed by two different women ending and the final boss against the gayest angel of all time
November 7, 2025 at 9:28 PM