AI's Uncertain Path to Profitability: Silicon Valley Bets Big on AI Despite Mounting Costs and Unclear Returns
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Silicon Valley has invested heavily in AI but it's unclear if it will pay off.
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Platforms like Microsoft's GitHub Copilot lose money, with Copilot costing $20 per user but Microsoft losing $80 on some.
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ChatGPT's user base is declining while costs stay high, losing money most times it's used.
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AI is expensive to operate, burning through computing power and infrastructure.
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Companies are trying to cut costs and reduce computing needs but it's proving challenging.