With this, then we couldn’t afford Sam Altman to experience failure because he will drag folks down with him. So the companies invested become too big to fall, and the still private leadership gets to run things however they wish knowing the government will cover for any mistakes.
It’s bad enough as the government will panic about retirement accounts when they falter, this exacerbates it.
It’s a risky form of private-public partnership, with a lot of ways the company can privatize rewards but socialize the risk.
Because in this scenario, taxpayer money has been tied into the “winners” already. So that company eager to take his place? Well, that’s bad news because the taxpayer fund already picked his company to be the right answer. So we want to prop up Altman and discourage that upstart that might disrupt this theoretical fund.
Same reason why OpenAI was pushing for regulation that they get to shape. Easy for OpenAI to navigate, hard for newcomers to get going.
it actually creates symetry for risk/reward, but it does incentivize giving skynet contracts with argument that people get 50% of the proceeds from skynet abuse.
Doesn’t really create symmetry for risk/reward, because, for example, the corporate leadership decides how much to pay out to investors versus how much they spend including a lot of their own compensation.
So they can carve out the reward as they see fit, but if things go bad they can lean on the public investment as leverage to get bailouts.
It is, but unintended consequences.
With this, then we couldn’t afford Sam Altman to experience failure because he will drag folks down with him. So the companies invested become too big to fall, and the still private leadership gets to run things however they wish knowing the government will cover for any mistakes.
It’s bad enough as the government will panic about retirement accounts when they falter, this exacerbates it.
It’s a risky form of private-public partnership, with a lot of ways the company can privatize rewards but socialize the risk.
Why does it matter that Altman fails when there are so many other companies waiting to take their place?
Because in this scenario, taxpayer money has been tied into the “winners” already. So that company eager to take his place? Well, that’s bad news because the taxpayer fund already picked his company to be the right answer. So we want to prop up Altman and discourage that upstart that might disrupt this theoretical fund.
Same reason why OpenAI was pushing for regulation that they get to shape. Easy for OpenAI to navigate, hard for newcomers to get going.
it actually creates symetry for risk/reward, but it does incentivize giving skynet contracts with argument that people get 50% of the proceeds from skynet abuse.
Doesn’t really create symmetry for risk/reward, because, for example, the corporate leadership decides how much to pay out to investors versus how much they spend including a lot of their own compensation.
So they can carve out the reward as they see fit, but if things go bad they can lean on the public investment as leverage to get bailouts.