In the Loop AI

OpenAI has gone quiet while Anthropic takes the spotlight with its blockbuster IPO, and its flagship agent, Dots, landed with a shrug. Ejaaz digs into why. Under the hood, OpenAI has been cooking: ChatGPT now handles about a fifth of Google's search volume, it added 200 million weekly users in two months, and it just poached Claude Code's product lead and an early Anthropic growth hire within days. Meanwhile GPT-6.2 Astra is waiting in the wings.We also cover the other side: a funding round cut from $30 billion to $20 billion, a valuation trimmed to $1.25 trillion, a compute crunch that slowed Dots, Stargate and SoftBank's slide, OpenAI's decision to let Anthropic IPO first, GPT-6 Cyber, ChatGPT's $1 billion ad business, and the "Ram Altman" saga. Is this OpenAI's Hail Mary, or the quiet before its next big move?==FOLLOW EJAAZ ON TWITTER:https://x.com/cryptopunk7213==Timestamps00:00 Stop Ignoring OpenAI01:03 GPT-6.2 Astra Is Coming01:45 Not as Rosy as It Seems02:21 OpenAI's Real Numbers02:58 A Fifth of Google's Searches04:17 Poaching Claude Code's Leaders05:25 Back on the Frontier06:15 The Jarvis Strategy06:58 GPT-6 Cyber07:33 Selling Ads in ChatGPT08:53 Dots and the Compute Crunch11:36 Why OpenAI Is Waiting to IPO13:57 Ram Altman16:23 The Bear Case Is Healthy17:22 Owning the Front Door18:55 Cheap Enough Intelligence19:43 Final Thoughts#ai #openai #chatgpt #anthropic #samaltman==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

The stock market just lost $2 trillion in 40 minutes, and AI stocks took the worst of it. Intel is down more than half since October, AMD fell 17% in a day, and memory and cybersecurity names went red with them. Ejaaz breaks down why it happened (valuations, the ROI question and the midterm vote on data centers) and why he thinks the market is wrong: demand for AI is still climbing, with GPU rental prices up as much as 106% since July while token prices fell 58%.We also cover where the money went (Apple, Amazon and Microsoft held up), Black October, Nvidia as the bedrock of the AI trade, the memory-stock bear case, why AI agents need far more CPUs, Palantir's record quarter, the fridge and blood-bank hacks, China paying a premium for Nvidia GPUs, how little the Fortune 500 spends on Claude, Big Tech's buyouts and Anthropic's IPO valuation.==FOLLOW EJAAZ ON TWITTER:https://x.com/cryptopunk7213==Timestamps00:00 $2 Trillion in 40 Minutes00:51 Where the Money Went01:32 Why the Market Is Wrong02:47 Black October03:32 Intel's 50% Drop04:57 The Midterm Effect06:15 The Bull Case07:07 Nvidia, the Bedrock08:34 GPUs Are Worth More Than Ever10:09 The Memory Stock Problem12:04 Intel, AMD and the CPU Boom14:28 The Skeptic's Case15:49 Cybersecurity Goes Red17:32 China Wants Nvidia GPUs18:42 The Long View21:26 The Bear Case23:19 Anthropic's Valuation24:12 Final Thoughts#ai #stockmarket #nvidia #intel #amd==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

On Tuesday, voters pushed back on AI data centers. Democrats won the House and the Senate, flipped governorships in Texas, Ohio and Georgia, and data-center restrictions passed in towns across the country. Goldman Sachs warns that 45% of planned US data-center capacity could be affected, and Texas alone is about a quarter of it. Ejaaz breaks down why an AI bull thinks the slowdown might actually be good for AI: no overbuild, data centers that pay their own way, and a race that rewards whoever uses compute most efficiently.We also cover why voters turned on data centers (power, land and water), Gina Hinojosa's conditions in Texas, the water myth, the market's split reaction (stocks up, AI stocks down, Elon's companies hit hardest), the 10 to 15 gigawatts that may not come online, the new stakeholder in the AI money loop, and what it means for the race with China.==FOLLOW EJAAZ ON TWITTER:https://x.com/cryptopunk7213==Timestamps00:00 America Hits Pause on AI01:34 Power, Land and Water02:38 Why Voters Turned04:18 What the Midterms Changed05:08 Texas Wants Data Centers to Pay07:07 A Bipartisan Backlash07:29 The China Problem08:34 The Water Myth09:55 Who Pays for Power10:39 The Market Reaction12:06 A New Stakeholder13:07 Good News for the Bears14:19 Stocks From Here15:34 Efficiency Wins17:24 AI Gets More Expensive18:03 US vs China19:51 Final Thoughts#ai #datacenters #midterms #elections #elonmusk==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

Over the weekend, Elon Musk told a Grok Bot user that "the cost of serving Grok Bot was unsustainably high relative to revenue," and usage limits tightened for hundreds of thousands of paying users. Three days earlier he'd pointed out that Grok Bot has no free tier, and two weeks before that he said he'd never seen anything grow as fast. Ejaaz breaks down what's actually going on: SpaceX can rent the same GPUs to Anthropic, which pays $1.25 billion a month today and about $3.1 billion a month from December, while Grok Bot's hardest tasks run on Anthropic's own Claude Opus 5.5.We also cover Grok Bot's rise to 600,000 daily users, the delays on Grok 4.8, the $60 billion Cursor acquisition, the trade-off between renting compute and running his own AI agent, the bear and bull case, and whether this is the first sign that AI is too expensive to sell at today's prices.==FOLLOW EJAAZ ON TWITTER:https://x.com/cryptopunk7213==Timestamps00:00 Elon's Grok Bot Problem01:51 What Grok Bot Is03:48 How Grok Bot Took Off04:47 Grok's Model Problem06:18 The Contradiction06:58 The Landlord and the Tenant08:35 The $60 Billion Cursor Bet09:53 Rent the Chips or Run the Bot?10:50 Why AI Agents Matter12:46 Limits, Not a Shutdown14:01 The Bear Case17:46 The Bull Case19:15 Final Thoughts#elonmusk #grok #spacex #anthropic #ai==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

Last week, Anthropic's S-1 showed a company that was finally making money. Today's amended filing adds the third quarter, and that profit is gone: revenue jumped to nearly $17 billion, up 47% in three months, but Anthropic swung to a $567 million operating loss, and it disclosed $895 billion in compute and infrastructure commitments, about $70 billion of it due in the next 12 months. Ejaaz breaks down why: demand outran the compute Anthropic had booked, so it paid up for $5 billion of short-term compute to keep serving customers.We also cover the $2 billion donation-matching charge, where the $895 billion is going (SpaceX, Google, Amazon, Broadcom and the neoclouds), whether Anthropic can pay for it, OpenAI's cut-down fundraise and the junk-rating worry, and the bull and bear case for the Anthropic IPO.==Timestamps00:00 Anthropic's Profit Is Gone01:50 Catching Up on the S-104:28 The Q3 Numbers05:24 Three Reasons for the Loss06:54 The Restaurant Analogy07:56 The $2 Billion Donation Match09:19 The $895 Billion Bill12:32 Where the Money Goes14:18 Can Anthropic Pay for It?16:38 Less Than 0.1% of Budgets17:48 Is the IPO a Buy or a Sell?22:14 Final Thoughts#anthropic #claude #ipo #ai #stocks==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

AI stocks just had a brutal week. Google lost more than $500 billion in market value, Amazon fell 12% after hours on its earnings, and Intel had its worst day since 1974, all while the biggest tech companies reported record cloud revenue and promised to spend even more on AI next year. So is this the dot-com bubble all over again? Ejaaz walks through how the selloff started, why search and the open web are cracking, and who is really paying for the AI buildout.We also lay out the bear case (concentration, borrowing, VC-subsidized spending and the walls going up around Reddit and Amazon) and the bull case (real demand, cash-rich hyperscalers, labs with money in the bank, and what happened to the internet after 2000), and why this looks more like a correction than a collapse.==Timestamps00:00 Is the AI Bubble Popping?00:55 Big Tech Doubles Down02:14 How the Selloff Started03:11 Three Signals From Earnings04:07 Search Is Breaking04:59 Reddit Builds a Wall07:20 The Overbuild Question09:00 Who's Paying for It10:13 Walls Around the Web10:54 Amazon Blocks Meta's Muse12:34 The Bear Case13:46 The Bull Case17:23 The Internet Still Won18:51 Final Thoughts#ai #stocks #bubble #nvidia #google==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

Google now has the number one AI model in the world. Gemini 4 Carbon tops the Artificial Analysis Intelligence Index two weeks after Gemini 4 Argon, and Google Cloud revenue more than doubled to $30.7 billion. So why did Alphabet stock open down nearly 12%? Search, the business that pays for everything, grew just 12% and fell below half of Google's revenue for the first time as AI Mode answers more questions and earns less per query. Add a quiet change to how Google charges advertisers, the exits of Jeff Dean and Demis Hassabis, and a paper loss on SpaceX, and the market isn't buying the comeback. Ejaaz thinks it's wrong.We also cover Genie 4, Google's new world model, which uses the cheaper Gemini 3.8 Flash as its planner; Microsoft offering buyouts to 60,000 employees, its own AI teams included; SK Hynix selling out its memory through 2029; and China's STAR 50 tech index falling more than 40% since June.==Timestamps00:00 Google Has the #1 AI Model01:58 Gemini 4 Carbon03:51 Earnings: Cloud Doubles04:39 Why the Stock Fell 12%05:13 Search Drops Below 50%06:29 $200 Billion in Capex07:27 Can You Trust the Benchmarks?08:19 The Ad Auction Change09:42 Ads in AI Chat10:29 Google's TPU Customers11:55 Jeff Dean and Demis Hassabis12:42 The SpaceX Loss13:23 Genie 416:03 Microsoft's 60,000 Buyouts18:40 SK Hynix Sold Out Through 202919:41 China's Tech Stocks and Final Thoughts#ai #google #gemini #stocks #earnings==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

Anthropic just got hacked again, and this time we know who did it. Cathedral, a start-up founded by former DOGE staffers and co-founded by the Pentagon's former chief data officer, ran AI agents against Anthropic under its bug bounty program. The front door held for days; the way in was business software Anthropic buys from other companies, and it led to meeting transcripts, salaries and Slack messages about its advanced models. Anthropic says it took several days, not 12 hours, and that nothing came near its model weights. Its own red-team lead says we may need to reinvent security every year.We also cover the Pentagon's feud with Anthropic, why Slack is where the AI labs keep their secrets, what last week's Black October has to do with it, and why older, cheaper models running 24/7 could put every company in the same spot.==Timestamps00:00 Anthropic Hacked Again01:08 Who Is Cathedral?02:03 Through the Back Door02:58 The Slack Warning03:36 Anthropic Pushes Back04:19 The Pentagon Grudge08:06 Underplaying the Breach10:05 Reinvent Security Every Year12:44 Castle Defense15:06 Final Thoughts: Third Parties16:52 Hackers That Never Sleep17:43 Nationalizing the Labs?18:25 China and Closing Thoughts#ai #anthropic #cybersecurity #claude #hacking==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

In the space of a week, three of the richest men in the world called the top of the AI trade. Elon Musk says debt markets have shut for anyone without real revenue outside AI data centers and that 200+ neoclouds face "guppy-level death." Citadel's Ken Griffin says there are "almost certainly bubbles." Chamath Palihapitiya says most AI spending is subsidized by venture capital. CoreWeave, Nebius and IREN are down more than 30% in a month. But each of them has a reason to say it, so Ejaaz digs into what's true, what's talking their book, and what investors should actually worry about.We also cover GPUs collecting dust in Amazon's warehouses, the 11th-hour bank talks behind Anthropic's record debt deal, why data centers take so long to switch on, and the bull case hiding in Anthropic's S-1.==Timestamps00:00 Three Billionaires Call the Top01:43 Chamath's Neocloud Warning02:18 Elon Piles On03:29 Where the AI Money Comes From04:37 Neoclouds Take the Hit05:29 GPUs Collecting Dust07:20 Testing Chamath's Claims10:17 The Debt Window Closes14:10 Why Data Centers Take So Long15:47 Where Elon Is Right18:03 Where He's Talking His Book19:40 The Bull Case20:26 Final Thoughts#ai #elonmusk #spacex #aibubble #stockmarket==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571

Anthropic just filed its S-1 ahead of what could be the biggest IPO in history, and the whole market has been waiting on it. Chip stocks fell eight sessions in a row, the headline number is an $80.7 billion loss, and everyone wants to know: is Anthropic actually making money, and are we in an AI bubble? Ejaaz came in skeptical and went through the filing. It's not what it looks like.We break down revenue that went from $41 million in 2023 to $16.3 billion in the first half of 2026, why Anthropic now makes about $2 for every $1 it spends on compute, 900% net revenue retention, Claude Cowork outpacing Claude Code, the $120.5 billion going to SpaceX for GPUs, $132 billion in cash and short-term investments, and why $72.4 billion of that loss is an accounting charge, not cash out the door.==Timestamps00:00 The IPO Everything Hangs On01:14 They're Crushing It02:12 Revenue Finally Beats Compute03:11 Who Pays Anthropic05:11 900% Net Revenue Retention06:53 Where the Money Comes From08:45 Claude Cowork's Surprise11:24 Anthropic's Big Predictions13:56 The Bear Case14:10 Half a Trillion in Compute15:35 Elon's GPU Toll Booth17:26 $132 Billion in the Bank19:32 The $80 Billion Paper Loss20:25 Final Thoughts23:15 The Roko's Basilisk Meme#anthropic #ipo #claude #ai #aibubble==AlphaSpace by Yahoo Finance: A Professional-Grade Investment Platform Built for Everyday Investors.👉 https://finance.yahoo.com/about/promos/gold/alphaspace/?ncid=100003571