Why is it not sustainable when Anthropic has already had a profitable quarter?

It's pretty easy to use accounting wizardry to have one profitable quarter.

So what makes their AI business fundamentally unsustainable?

The obvious draw-down on resources being used by companies following the token price hikes?

The fact that in the testimonials both frontier labs quote the same company (who I'm led to believe is still tokenmaxxing).

The fact that we've not seen actual productivity benefits or new products resulting from people outside the companies using it and a lot of things that in most businesses would result in a lot of investor skepticism and concern.

The fervent development and focus on 'the next big thing'.

Funny thing is, they stated their reason for existence was because ad-based revenue models would corrupt search quality. Funny that!

Same as our OpenAI friends, who founded a non-profit because one company (Google) holding AGI would be dangerous for humanity. Turns out it's only dangerous when it's somebody else's company. When it's yours, it changes things slightly.

Eh. You’d have to clarify that. Google get started because other search engines at the time sucked. I had a soft spot for Ask Jeeves, but it was clear Google was better.

Advertising is the monetizing strategy from early on. AdWords came to be in 2000. Nothing fuzzy about that.

ERm said another way.

Most people and firms by extension don't actually A) know what people want B) re-design their operations for the technology to amplify productivity that translates into finished goods and thereby the financials and market-share.