“Google Now Spends More on Compute Than on People”, Steve Jurvetson2023-11-24 (AI economics)⁠:

A watershed moment: Google now spends more on compute than on people.

Source: Recent ex-employees and people who interviewed for senior positions there.

…It’s all about the ASICs now.

[Microsoft spends] Even more: Microsoft has budgeted a $50B spend on chips for the next year.

Google is building 2 million TPU 5 ASICs for $12,500 each = $25B. Other data center spend takes it above $30B.

[Dylan Patel: “Those numbers are wrong on volume and ASP.”]

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• Microsoft thinks AI can beat Google at search—CEO Satya Nadella explains why: AI is coming for your browser, your social media, and your operating system, too

• The AI Boom Runs on Chips, but It Can’t Get Enough: ‘It’s like toilet paper during the pandemic.’ Startups, investors scrounge for computational firepower