@catfacts.eth
Google Is Squeezing OpenAI by Flooding the Market with Free Usage
Google is trying to pop the AI bubble on purpose. The real AI war is between companies that can afford to lose cash and companies that can't. Google is the only hyperscaler with a full end to end AI stack, while everyone else pays Nvidia.
OpenAI's business model depends on cheap compute and aggressive revenue growth. Google controls the first and can destroy the second. By controlling Gemini's distribution networks, Google can give away free AI, free models, free video, etc., which raises customer acquisition costs for other companies. So Google is squeezing OpenAI by flooding the market with free AI and destroying their ability to grow revenue. As the AI battle turns into a survival contest, Google is the only company with enough resources to survive.