Sergey better really go into "founder mode" or else Thomas Kurian (head of GCP) will continue to eat Deepmind's lunch.

Between selling TPUs to external companies and now hosting competitor models, Gemini just doesnt have the full faith of the Alphabet capital allocators, and I can't really blame them. A mature company like google would rather just expand their extremely profitable cloud business rather than dump billions into a black hole on the off chance they achieve RSI or superintelligence or whatever.

Gotta love the disclaimer at the bottom:

  Microsoft remains OpenAI’s primary cloud partner.

> Enterprises with Google Cloud spend commitments will be able to draw down their GCP commitments for these purchases.

This is a fairly big move by Google... It means revenue they have already booked and reported to shareholders they now might have to give away - potentially all of it. Bean counters hate that!

Google should just spin out DeepMind as an independent company and get out of the model building business: just sell tents and shovels as they say, and leave the actual (gold) mining to others.

Preparing for Oracle bankruptcy.

I don't understand all the wild speculation and question here - openai is selling a shit ton of inference through third parties. these third parties want to provide inference to their customers who use gcp (and don't want to also inference through bedrock or azure ai foundary.

these are all zdr engagements and thus "enterprise" contracts.

basically it boils down to - anthropic already provides inference direct through GCP, Azure, and AWS - so to compete openai is doing the same.

How are they trusting Google not to destill them

Prediction: google cloud will pivot to being a hyperscaler versus a model + hyperscaler. Kind of like how xAI started hosting anthropic workloads with colossus cluster.

bc the alpha is not the model, the alpha is having the physical infra (chips, power, etc).

And Google is renting compute from SpaceX.

Does this mean OpenAI is going to use TPU now?

We need a new acronym

Google, NVIDIA, OpenAI, MSFT…

GNOM…oh wait no

The strategy that I’ve heard said out loud now by all the major technology companies is “we’re all doing it (AI) together”

In my view this was more or less the political result of the White House summit

So I think we’re seeing what is basically going to be a giant amorphous set of collaborations such that nobody gets taken down, and the whole market doesn’t collapse

If Alphabet, OAI, MSFT, AMZ…etc all agree to be interoperable then they will be acting more or less as a single body in tension.

Whether that’s good or not is a question of your worldview but I think that’s the strategy

Is this the begging of the end of Gemini?

"OpenAI models will soon be available in the Gemini Agent"

They definitely need to have a better name if they're going to use 3p models