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Commodification of Intelligence: Good, Bad, and Ugly Circular AI Deals
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Overview
AI companies are facing criticism for circular financing and customer relationships, with examples including OpenAI raising funds from Microsoft to spend on Microsoft servers and CoreWeave financing debt through Nvidia purchases. Analysts draw parallels to the dot-com bubble of 1999, suggesting that current circular investments may lead to a similar outcome.
Summary from emergingtrajectories.com.
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emergingtrajectories.com
Commodification of Intelligence: Good, Bad, and Ugly Circular AI Deals
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Hacker News · emergingtrajectories.com
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Based on 5 sampled comments from this thread. Analyzed 2026-07-30.
- Praise: Some commenters recognize LLMs as exhibiting verbal intelligence, which could redefine how we view AI capabilities in practical tasks.
- Praise: The potential for LLMs to offload complex reasoning tasks is seen as a form of intelligence, suggesting they can significantly enhance productivity.
- Concern: Skepticism runs high regarding the hype around LLMs being labeled 'intelligent' — many argue we haven't achieved true AI yet.
- Concern: Concerns about the ethical implications of using scraped content without attribution loom large, questioning the integrity of current AI training methods.
- Concern: The commodification of AI raises alarms about inequality and the potential for propaganda to shape public perception, which isn't good for society.