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The number of AI companies there can be is absolutely hard-limited by infrastructure. The ones which exist currently are racing like hell to horizontally integr
by gentooflux 3mo ago
The number of AI companies there can be is absolutely hard-limited by infrastructure. The ones which exist currently are racing like hell to horizontally integrate everything from network to power and water for themselves
- fc417fc802 3mo agoThat's nonsense. You might not be able to afford to enter the market but that's not at all the same as a physical constraint capping the number of competitors.
- gentooflux 3mo agoYou might not be able to afford to put up power lines or build a road, but that doesn't mean you physically cannot. By your logic there are no natural monopolies
- fc417fc802 3mo agoIf I want to service 1234 sesame st from my physical location with power lines there are a very limited number of routes I can take. The limited physical space quickly becomes crowded, duplicate physical infrastructure of that nature is highly inefficient, and there's a (completely pointless) negative impact on society to accommodate the constant installation and servicing. Commodity hardware installed in a commodity building on commodity land using commodity power hooked up to a commodity network isn't the same thing. By your logic anything expensive or inconvenient is a natural monopoly. I believe the term you were looking for was "high barrier to entry".