3,043 karma · joined April 5, 2018
Since the M series of ARM processors didn’t come out until 2020, that would make a lot of sense.
> > They can either have $40B in OpenAI equity or $97B.
> In other words: the big number trumps the small number - QED.
Yes those are words I used to describe a factual choice they have. Following that are a lot more words that dive deeper into that discussion. Here's how I summarized my initial point in the TL;DR on my ultimate parent post:
"Musk is trying to force OpenAI to value OpenAI-NP's stake in OpenAI-P at a reasonable level which is far greater than the current $40B which will help Musk by potentially derailing OpenAI-P's goal to be spun off.
For people with smooth brains like me, I'll helpfully point out how this doesn't present Elon's offer as "an instant checkmate." The first word to note is "trying." This suggests it is an attempt to do something that is not guaranteed to result in a win (ie a "checkmate"). The second word is "potentially" which again reinforces the case that this does not guarantee Elon achieves the stated goal (ie is not "checkmate").
> Why do you believe OpenAI-NP wouldn't care about all the issues I raised?
My prior post raised all sorts of reasons and you seem to have decided to ignore them to build strawmen.
Yes this an angle they could take. This would probably be a huge mistake. By doing this they would in part be conceding that it's a worthwhile offer to be made and Elon also is likely more than able to acquire the funds.
> From what I can gather you're just mistaken here,
I'm not. You and WaPo are. For one, it should be obvious that that's the case otherwise this offer would be worthless since it's less than the $157B most recent valuation. There would be no point in discussing any of this and everyone would be laughing at Elon. For another, here's the original reporting from the WSJ which is unsurprisingly much clearer: https://archive.is/stI0V
If the OpenAI-NP board sees such existential risk from a change in leadership of OpenAI-P, how can they in good faith eschew control of it? By removing themselves from control, they would see the exact same risk anyhow. Elon could make a tender offer for the private for-profit entity that its board would be bound to accept in its fiduciary duty to shareholders. Plus, they would have to make the case that both Elon is specifically bad AND that he's so bad that it's not worth having $57B more to deploy for their AI goals. What's more, you would have to consider whether or not preventing Elon from controlling OpenAI even prevents whatever risk you see from Elon as he is already building xAI in parallel.
> IDK, Musk's offer is apparently for the nonprofit, not for a partial interest in the not-yet-extant for-profit subsidiary.
You can't buy a non-profit. It's their assets he's trying to buy. If OpenAI-NP values their OpenAI-P claims at $40B then that's what Elon would own according to their own beliefs.
In the scenario where they chose the $40B in OpenAI equity, they are eschewing $97B with which they can achieve their mission. They will be less effective by $57B. They still have no control over OpenAI in this context. They don't have control over OpenAI from the perspective of safety/benefit of humanity. All they have is $40B worth of equity.
Or, they can get $97B and go about completing their mission. In this case, what happens to OpenAI doesn't really matter. They lose control over OpenAI from the perspective of safety/public benefit in both cases, but in this case they get to deploy $97B of capital to their goals. The success of OpenAI-P is irrelevant to OpenAI-NP.
Now, maybe you would claim that there is some kind of existential risk from OpenAI-P being controlled by Elon. But if that's the case, how is Elon uniquely special? How does OpenAI prevent Elon from gaining control of OpenAI anyway when they won't have control to prevent it? How can they be sure Sam Altman is okay to lead when the board already removed him due his duplicity once. To eliminate their control OpenAI-P, they open themselves up to this same risk regardless. They can take that risk with either $40B of equity or $97B of cash.
> "I'll pay you double" isn't the instant checkmate you're suggesting.
This isn't what I suggest at all and I would've expected someone who sees through such complex issues to rationales that are "obvious to everyone" would've been able to see that. This does however pose real problems for OpenAI-P as they try to go private!
I think you added this after I replied. Even if this is the case, better to do so with $97B and no control in OpenAI than $40B and no control in OpenAI!
But OpenAI-P of course wouldn't be owned by Elon, he would just own $40B worth of OpenAI-P according to their own valuation of it. A tiny minority stake of the $157B enterprise.
OpenAI-NP, could just go back to other OpenAI investors and buy back their "$40B" stake plus have $57B leftover to apply to AI safety. Silly Elon, overpaying by almost 2.5X for something of such little value!
It's a hard point that they would likely have to make in court! Harder still with Elon having originally been involved in founding OpenAI-NP.
Everyone hates Elon reasonably but few people seem to care the Sam Altman is conducting a theft on the order of $57+B.
OpenAI-NP can either have a $40B from spinning out OpenAI-P or $97B in cash. In theory, they could literally just go and buy back their stake in OpenAI-P and have $57B left over for other AI endeavors if the valuation of it at $40B were remotely reasonable! If I'm on the board and I believe the $40B number, I'd do this in a heatbeat.
I probably haven't explained this clearly enough in my original post which I wrote too quickly.
> this is fundamentally about: stopping or fundamentally changing OpenAI's plans to be spun off.
If OpenAI actually values OpenAI-NP at $40B then they will surely sell it for $97B. The point is the $40B is obviously a dramatic undervaluing and the fact they won't sell it for $97B shows that. This is the wrench.
Kind of, yes! If OpenAI actually believes that the true value of OpenAI-NP is $40B then surely they will sell it for $97B! But, they of course don't believe that the proper valuation of complete control over OpenAI-P is worth only $40B. That's the point of why this works.
The issue at hand is that OpenAI (the private, currently "capped profit" entity, henceforth in this post referred to as OpenAI-P) is trying to get spun out of control of the OpenAI non-profit (henceforth referred to as OpenAI-NP).
In order to do this, OpenAI-P must compensate OpenAI-NP for its ownership of OpenAI-P. Currently they are trying to value this at $40B. This is a swindling for numerous reasons. Firstly, OpenAI-NP has complete control over OpenAI-P. They OpenAI-NP board can do whatever it wants with OpenAI-P. OpenAI-P has some financial obligations to those who have purchased its PPU (its equity instrument) but ultimately OpenAI-NP controls OpenAI-P and could do whatever it wants with it (eg shut it down, fire Sam Altman on a whim, etc). Further, the cashflows that OpenAI-NP still has ownership of are, at least under the claims of people like Sam A, clearly worth dramatically more than the $40B valuation would imply.
In addition, the OpenAI-NP mission is "Our mission is to ensure that artificial general intelligence—AI systems that are generally smarter than humans—benefits all of humanity". The control of the leading AI Lab is the only way that they can possibly live up to their mission. To abdicate control of OpenAI-P is to abdicate their mission. If the OpenAI-NP board follows their mission as they are obligated to, they cannot possibly be willing to abdicate this control and they must surely value it far beyond $40B.
EDIT TO ADD TL;DR - Musk is trying to force OpenAI to value OpenAI-NP's stake in OpenAI-P at a reasonable level which is far greater than the current $40B which will help Musk by potentially derailing OpenAI-P's goal to be spun off.
I've been meaning to read a relevant book to today's times called Engines That Move Markets. Will probably get it from the library.
The equivalent in Facebook (Meta) terms would be China requiring Facebook, if it wished to continue operations in China, to sell the Chinese Facebook product to a Chinese or other, as to be defined by China, non-American entity. In some sense this is already the case.
There is a "TikTok cannot be controlled by the CCP" law. TikTok is completely legal under the law as long as they divest it. However, in a great act of self-incrimination, Bytedance (de facto controlled by CCP) has decided to not divest and would rather shutdown instead.
Here’s a screenshot of the accusations of bribery contained in the Hindenburg report: https://imgur.com/a/cta3zuj
If you take even a cursory glance at the report, the main issues are not accounting.
https://www.hindustantimes.com/business/adani-group-shares-p...
Who are some of these people?