WEBVTT - Data Vampires with Paris Marx

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<v Speaker 1>All Zone Media.

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<v Speaker 2>Hello and welcome to Better Offline. I'm your host and

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<v Speaker 2>the single most punished man alive ed Zetron. Everyone hates me,

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<v Speaker 2>but the people don't hate the man who's joining me today.

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<v Speaker 2>I've got Paris Marks, the host of Tech Won't Save Us,

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<v Speaker 2>the writer of the Disconnect blog, and the actual host

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<v Speaker 2>of the brand new series is about to tell us

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<v Speaker 2>about data vampires. Paris, thank you for joining me.

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<v Speaker 3>Absolutely, it's so fun to be on the show.

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<v Speaker 2>So tell me about the new show. I'm excited.

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<v Speaker 3>Yeah, it's uh, you know, I think everyone has kind

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<v Speaker 3>of been paying attention a bit more to like the energy,

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<v Speaker 3>use of data center as a cryptocurrency and all this

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<v Speaker 3>kind of stuff, and you know, especially what powers generative AI,

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<v Speaker 3>and you know what's been kind of fueling the hype

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<v Speaker 3>for the past two years. And so in this series,

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<v Speaker 3>I wanted to go into why we're actually building so

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<v Speaker 3>many data centers, What is behind these things, how much

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<v Speaker 3>energy are they actually using, And on the one hand,

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<v Speaker 3>like the commercial impulses to do this, but also like

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<v Speaker 3>the kind of weird ideological reasons that these people want

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<v Speaker 3>to build these massive AI systems in the first place.

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<v Speaker 3>Relating back to all these like things about AGI and

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<v Speaker 3>you know, trying to make computers with human level intelligence

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<v Speaker 3>and all this kind of stuff where they eventually want

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<v Speaker 3>to merge their brains with machines. So it goes into

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<v Speaker 3>like the wide range of all these sorts of things

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<v Speaker 3>over over for episodes.

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<v Speaker 2>So talk to me about the scale of this. How

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<v Speaker 2>many of these data centers are they building? Like, give

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<v Speaker 2>the audience some idea because it from what I know,

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<v Speaker 2>it's not great.

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<v Speaker 3>Yeah, absolutely, and it's quite a lot, right, especially when

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<v Speaker 3>you see it scale up over the past number of years.

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<v Speaker 3>So we've seen this like really significant escalation over the

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<v Speaker 3>past five years, in particular in the construction of these

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<v Speaker 3>data centers. So there was something like five hundred or so,

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<v Speaker 3>you know, about five years ago, and now we're looking

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<v Speaker 3>at more like a thousand that were completed by the

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<v Speaker 3>end of or in the early part of twenty twenty four.

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<v Speaker 3>We have many more than that now, and we know

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<v Speaker 3>that Microsoft, Amazon, and Google in particular are making these

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<v Speaker 3>huge investments to increase the number of data centers that

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<v Speaker 3>they're building in to build them more quickly. And so

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<v Speaker 3>you know, the thing is some people might listen to

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<v Speaker 3>this and say Okay, Yeah, but data centers have been

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<v Speaker 3>around for a long time, and I think that this

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<v Speaker 3>is an important distinction to make, right. Data centers as

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<v Speaker 3>we knew them were like a floor in an office

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<v Speaker 3>building that a company was using for their own purposes,

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<v Speaker 3>or you know, maybe even a specific room in the

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<v Speaker 3>basement or something. But what we're talking about in particular

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<v Speaker 3>with Amazon, Bikersoft, and Google and this move to the

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<v Speaker 3>cloud and this kind of centralized computation is the hyper

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<v Speaker 3>scale data centers that exist on the scale that is

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<v Speaker 3>so much greater than what we used to have before

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<v Speaker 3>the cloud, and how we've really seen that escalate over

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<v Speaker 3>the past few years in particular. So that is the

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<v Speaker 3>specific problem, right. It's not that we have computation, and

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<v Speaker 3>it's not that there is some degree of centralized computation.

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<v Speaker 3>It's the scale that these infrastructures exist. That and then

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<v Speaker 3>the question of why we're actually building all these in

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<v Speaker 3>the first place.

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<v Speaker 2>So why are we building them? What? Like, what are

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<v Speaker 2>they actually putting in there?

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<v Speaker 3>Yeah, And it's an essential point, right, And I think

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<v Speaker 3>there are a few different ways to look at it, right,

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<v Speaker 3>Some computation is always going to be necessary for the

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<v Speaker 3>types of things that we're doing online. You know, there's

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<v Speaker 3>there's no question about that, right. I think it's fair

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<v Speaker 3>to say that we want some degree of Netflix, we

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<v Speaker 3>want to have easy access to our email, you know,

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<v Speaker 3>we want to be able to socialize with one another

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<v Speaker 3>on these various platforms that we use. And I think

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<v Speaker 3>that that is totally legitimate and that we should be

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<v Speaker 3>able to do those sorts of things, right. But then

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<v Speaker 3>you ask, okay, but what is really driving this significant

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<v Speaker 3>growth that we have been seeing over the past while.

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<v Speaker 3>And we see on the one hand, certainly that is

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<v Speaker 3>generative AI. The cryptocurrencies are a little bit separate from

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<v Speaker 3>that because generally that stuff is not being run on

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<v Speaker 3>say like the Amazon, Microsoft and Google servers. Those are

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<v Speaker 3>like specific things I don't even think if they let you, right,

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<v Speaker 3>So these are specific infrastructures being set up by like

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<v Speaker 3>crypto miners and things like that. So it's a little

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<v Speaker 3>bit different. But we can still kind of, you know,

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<v Speaker 3>look at the amount of energy use that's being put

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<v Speaker 3>into those sorts of use cases. But the other piece

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<v Speaker 3>that I think that we tend to you know, not

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<v Speaker 3>think about so much, especially when we talk so much

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<v Speaker 3>about generative AI, is this sort of you know foundation

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<v Speaker 3>that we have built the Internet on over the past

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<v Speaker 3>number of decades. And for a lot of these companies,

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<v Speaker 3>the business model is collect as much data as possible

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<v Speaker 3>so that then we can target ads, and we can

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<v Speaker 3>target product recommendations and all this sort of stuff to you,

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<v Speaker 3>And that like surveillance piece and storage of massive amounts

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<v Speaker 3>of data on all of us and everything that we

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<v Speaker 3>do online is also a big component of it as well.

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<v Speaker 3>That I think it's under considered. And so my provocation

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<v Speaker 3>is like, do we really need to be collecting all

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<v Speaker 3>that data in the first place? That requires so much

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<v Speaker 3>you know, computation but also storage, which is driving the

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<v Speaker 3>creation and the building of so many of these hyperscale

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<v Speaker 3>data centers.

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<v Speaker 2>Building them just for generative AI or as generateve AI

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<v Speaker 2>just kind of an excuse.

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<v Speaker 3>Yeah, I certainly see it as an excuse it, you know,

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<v Speaker 3>if we're really digging into it, it is a bit

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<v Speaker 3>of both, right. On the one hand, these companies are

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<v Speaker 3>trying to build a ton of data centers in order

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<v Speaker 3>to power generative AI, because we both know how computationally

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<v Speaker 3>intensive not just the training of those models is, but

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<v Speaker 3>also then using those products. As these companies are trying

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<v Speaker 3>to roll them out into so much of what we do,

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<v Speaker 3>so many of the services that we use.

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<v Speaker 2>Right.

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<v Speaker 3>But then the other piece of it is that even

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<v Speaker 3>before the generative AI moment like I was talking about,

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<v Speaker 3>over the past five years, we can already see that

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<v Speaker 3>there was this scale up in the number of hyper

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<v Speaker 3>scale data centers being built in particular, and so in

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<v Speaker 3>that way, I see generative AI as an excuse to

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<v Speaker 3>continue building these things that they were already building in

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<v Speaker 3>the first place. And this is like the foundational point here, right,

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<v Speaker 3>is that if you think about a company like Amazon,

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<v Speaker 3>Microsoft and Google that has this massive cloud business, and

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<v Speaker 3>especially Microsoft and Amazon where they're getting so many you know,

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<v Speaker 3>you know where the profits from those businesses are so

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<v Speaker 3>important to their to their wider business model and being

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<v Speaker 3>able to expand into so many different areas of business.

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<v Speaker 3>You know, there is an inherent incentive then, and you know,

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<v Speaker 3>we know how capitalism works. These businesses always need to grow.

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<v Speaker 3>They need to be making more profits in order to

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<v Speaker 3>keep shareholders happy. So if your business is, you know,

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<v Speaker 3>providing centralized computation at scale, you need the amount of

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<v Speaker 3>computation that we all collectively use to continue growing year

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<v Speaker 3>on year, and you know they want it to be

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<v Speaker 3>growing very quickly, and that means you're not just going

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<v Speaker 3>to need more hyper scale data centers, but you need

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<v Speaker 3>to sell people on more computation and to make the

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<v Speaker 3>things that we use more computationally intensive to justify you know,

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<v Speaker 3>this this kind of business incentive that that's driving you.

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<v Speaker 2>So it almost kind of sounds like they have just

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<v Speaker 2>been trying to find computationally expensive or intensive even things

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<v Speaker 2>so that they could build more ways to compute and

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<v Speaker 2>justify these expensive It's kind of sickening, pisses yea off.

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<v Speaker 2>It's like when I think about that, people say to me, Oh,

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<v Speaker 2>you're angry. Why are I don't know why other people

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<v Speaker 2>aren't angry. I feel like you and I are about

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<v Speaker 2>as angry. We're very about this.

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<v Speaker 3>Maybe we express it in different ways.

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<v Speaker 2>Sometimes perhaps agree, yeah, you're a little nicer than I am.

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<v Speaker 2>Perhaps it's just frustrating because I was just on a

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<v Speaker 2>podcast actually just before this, and I was talking to

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<v Speaker 2>them and they were talking about the promise of AI.

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<v Speaker 2>But when you get past the promise, it's really just

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<v Speaker 2>kind of shit, like it's mediaoka, it's and they're building

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<v Speaker 2>all of this infrastructure for nothing, And one theory I

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<v Speaker 2>have is that it's not being used. I don't know

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<v Speaker 2>if you've seen anything that suggests that or what I mean,

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<v Speaker 2>you've likely working off of public documents, I'm guessing. But

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<v Speaker 2>what if this is for nothing? What if they've just

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<v Speaker 2>built a bunch of data centers for no reason.

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<v Speaker 3>Yeah, And that is something that I've talked to a

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<v Speaker 3>number of people about, right, because I'm trying to understand

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<v Speaker 3>that question as well. And I think that there's two

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<v Speaker 3>potential past that this takes. So one of them is

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<v Speaker 3>that maybe they don't end up using some of these

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<v Speaker 3>data centers that they're currently building, or they scale back

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<v Speaker 3>some of the projects that they're currently planning to build.

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<v Speaker 2>Right.

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<v Speaker 3>And so, you know, my kind of example to point

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<v Speaker 3>to for that being a potential pathway is you know,

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<v Speaker 3>remember in the early kind of probably year or eighteen

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<v Speaker 3>months of the pandemic, there was a lot of people

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<v Speaker 3>who were using like Amazon to get more things delivered.

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<v Speaker 3>And as a result, Amazon kind of created this plan

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<v Speaker 3>to build a ton more warehouses than they were actually

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<v Speaker 3>going to need. And as like you know, people went

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<v Speaker 3>back to kind of shopping a bit more normally. As

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<v Speaker 3>you know, the threat or as the lockdowns ended and

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<v Speaker 3>things like that, what you saw is the demand for

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<v Speaker 3>Amazon or the demand that Amazon had projected decreased, and

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<v Speaker 3>so they canceled a bunch of warehouse projects and expansions

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<v Speaker 3>across the United States and their wider warehouse network because

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<v Speaker 3>they felt that they weren't actually going to need all

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<v Speaker 3>that capacity that they thought they were going to. So

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<v Speaker 3>that's one potent path. But I think, you know, because

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<v Speaker 3>of what we were saying, and because of what was

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<v Speaker 3>what I was explaining about, you know, this need to

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<v Speaker 3>grow the amount of computation that we are like collectively using,

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<v Speaker 3>I think that it is less the chance with data

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<v Speaker 3>centers that that is the pathway that we see, and instead,

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<v Speaker 3>I think that the amount the number of data centers

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<v Speaker 3>that these companies are creating, if generative a AI falls off,

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<v Speaker 3>which I think we you know, we both think is

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<v Speaker 3>going to happen ultimately, that there's going to be this

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<v Speaker 3>this collapse, this crash, I think they will ultimately try

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<v Speaker 3>to find some other use case to justify building out

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<v Speaker 3>that computation because I think that that is like the

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<v Speaker 3>inherent project that they want to realize. On the one hand,

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<v Speaker 3>on the commercial side, but also because the people who

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<v Speaker 3>are running these companies really believe that everything that we

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<v Speaker 3>do in our society needs to have computation like inserted

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<v Speaker 3>in there somehow, and that this is the way that

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<v Speaker 3>we build like the future right.

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<v Speaker 2>Kind of makes me think of Peloton. No sure, if

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<v Speaker 2>you remember the twenty twenty one stories of Peloton was

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<v Speaker 2>like pos the next trillion dollar company. Everyone was furiously

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<v Speaker 2>excited about Peloton, and then the moment people got allowed

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<v Speaker 2>outside again, it started to kind of fall apart. Well, okay,

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<v Speaker 2>I'm getting my dates wrong because twenty twenty one was

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<v Speaker 2>when it started to fall off. But nevertheless, I have

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<v Speaker 2>to wonder if that could happen here because while you

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<v Speaker 2>say they'll come up with a reason, what is it

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<v Speaker 2>and how does that lead to money? I just add

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<v Speaker 2>Zephyr teach out on and we were talking about this.

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<v Speaker 2>It's like, what if there is no plan? What if

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<v Speaker 2>they don't other than bigger? Because it's based on what

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<v Speaker 2>I've what the series you're doing is about. It seems

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<v Speaker 2>like they're committed to this at least, like this is

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<v Speaker 2>they need to do this to prove that they are cool,

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<v Speaker 2>rather than researching or developing things, it almost feels as

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<v Speaker 2>if they think this is inevitable.

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<v Speaker 3>That's what I feel, right, And part of that comes

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<v Speaker 3>not just from the commercial imperative, but also like these

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<v Speaker 3>broader ideological things that I'm sure that you've discussed on

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<v Speaker 3>your show and that I've been discussing with people as well.

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<v Speaker 3>But when you hear people like say Sam Altman or

0:11:00.520 --> 0:11:03.840
<v Speaker 3>Eric Schmidt or you know, Elon Musk talk about how

0:11:03.880 --> 0:11:07.040
<v Speaker 3>ais are going to become so intelligent, and you know

0:11:07.080 --> 0:11:09.559
<v Speaker 3>Sam Altman specifically saying that he wants to make sure

0:11:09.600 --> 0:11:12.040
<v Speaker 3>that we like I'll merge our brains with machines and

0:11:12.320 --> 0:11:15.080
<v Speaker 3>all these sorts of things, Like I think that suggests

0:11:15.120 --> 0:11:17.719
<v Speaker 3>also like the direction that these people want to go,

0:11:18.200 --> 0:11:21.480
<v Speaker 3>not because you know, not just because of commercial reasons,

0:11:21.480 --> 0:11:23.440
<v Speaker 3>not just because they think they're going to make you know,

0:11:23.480 --> 0:11:26.000
<v Speaker 3>more profits or try to realize some kind of world

0:11:26.000 --> 0:11:27.719
<v Speaker 3>that they want to realize this way, but because they

0:11:27.720 --> 0:11:30.160
<v Speaker 3>think that if this is the direction that we don't

0:11:30.200 --> 0:11:34.760
<v Speaker 3>take as a society, then you know, the future that

0:11:34.800 --> 0:11:36.880
<v Speaker 3>they think is the one that we need to realize

0:11:36.920 --> 0:11:39.960
<v Speaker 3>in order to have this you know, wonderful, glorious future

0:11:40.000 --> 0:11:43.200
<v Speaker 3>where humanity exists forever and we colonize all these planets

0:11:43.240 --> 0:11:44.959
<v Speaker 3>and all this kind of stuff. If we don't take

0:11:45.000 --> 0:11:47.920
<v Speaker 3>this direction, if we don't develop these incredibly powerful ais,

0:11:47.960 --> 0:11:50.080
<v Speaker 3>then in their mind, this isn't going to happen. So

0:11:50.120 --> 0:11:53.320
<v Speaker 3>it feels like, yes, there's the commercial element of this, right,

0:11:53.400 --> 0:11:56.080
<v Speaker 3>They're they're trying to drive investment with this AI boom

0:11:56.120 --> 0:11:59.600
<v Speaker 3>by promising so much about it. But like ideologically, in

0:11:59.640 --> 0:12:01.840
<v Speaker 3>their in their kind of minds and world views, they

0:12:01.840 --> 0:12:03.400
<v Speaker 3>think that this is the direction that we have to

0:12:03.400 --> 0:12:06.040
<v Speaker 3>go or we're basically all doomed, even though in the

0:12:06.080 --> 0:12:08.520
<v Speaker 3>process they're kind of dooming us by destroying.

0:12:08.120 --> 0:12:10.880
<v Speaker 2>At the time, destroying the environment to make sure we

0:12:10.920 --> 0:12:25.040
<v Speaker 2>don't do ourselves. That's the Eric Schmidt thing. Yeah, so

0:12:25.840 --> 0:12:28.400
<v Speaker 2>let's talk costs. Yeah, what is being put into this?

0:12:28.440 --> 0:12:30.360
<v Speaker 2>Because I have bullpop numbers, but maybe you have some

0:12:30.440 --> 0:12:32.559
<v Speaker 2>better ideas. How much is actually going into this?

0:12:33.760 --> 0:12:38.480
<v Speaker 3>Yeah, so it's hundreds of hundreds of billions, let me

0:12:38.520 --> 0:12:42.160
<v Speaker 3>get that, right, if not trillions of dollars? Right? And

0:12:42.760 --> 0:12:44.800
<v Speaker 3>I can't remember the exact figures off the top of

0:12:44.800 --> 0:12:48.440
<v Speaker 3>my head, but over the past year, say from June

0:12:48.480 --> 0:12:50.640
<v Speaker 3>of twenty twenty three to July of twenty twenty four.

0:12:50.720 --> 0:12:53.440
<v Speaker 3>Microsoft has been plowing hundreds of billions of dollars into

0:12:53.520 --> 0:12:57.480
<v Speaker 3>data center expansions around the world. Amazon committed I believe

0:12:57.520 --> 0:13:00.439
<v Speaker 3>it was one point five trillion dollars early this year

0:13:00.480 --> 0:13:03.440
<v Speaker 3>or last year to data center expansion, with about five

0:13:03.600 --> 0:13:05.960
<v Speaker 3>hundred billion of that going out in the short term.

0:13:06.559 --> 0:13:09.120
<v Speaker 3>So these are like massive numbers. We know that Microsoft

0:13:09.200 --> 0:13:12.040
<v Speaker 3>and open Ai have talked about building a one hundred

0:13:12.120 --> 0:13:15.960
<v Speaker 3>billion dollar data center complex that would need nuclear energy

0:13:16.000 --> 0:13:19.960
<v Speaker 3>in order to power it because they be so energy intensive. Yeah, right, exactly.

0:13:20.840 --> 0:13:23.040
<v Speaker 3>So like these are the kinds of numbers that we're

0:13:23.080 --> 0:13:25.600
<v Speaker 3>talking about, and I feel like these are the types

0:13:25.600 --> 0:13:28.319
<v Speaker 3>of numbers that we often hear, like, you know, governments

0:13:28.360 --> 0:13:30.920
<v Speaker 3>talk about when we're when they're making like massive investment

0:13:30.960 --> 0:13:34.559
<v Speaker 3>projects or something, right, not like private companies. But because

0:13:34.559 --> 0:13:37.440
<v Speaker 3>these private companies are so huge, it's like they can

0:13:37.480 --> 0:13:40.000
<v Speaker 3>build out these infrastructures that have, you know, such a

0:13:40.080 --> 0:13:43.000
<v Speaker 3>huge impact that they have impacts not just in communities,

0:13:43.040 --> 0:13:46.400
<v Speaker 3>but like nationwide globally because they are so significant.

0:13:47.080 --> 0:13:49.800
<v Speaker 2>Almost feels like a kind of authoritarianism. It feels like

0:13:49.840 --> 0:13:52.600
<v Speaker 2>they're building out a new governmental system that they control

0:13:52.920 --> 0:13:56.040
<v Speaker 2>that they meeter out which includes I guess it's a

0:13:56.240 --> 0:13:58.800
<v Speaker 2>vampiric element to it as well, where they control the

0:13:58.800 --> 0:14:03.440
<v Speaker 2>power of America, even though power is theoretically a civic good,

0:14:04.080 --> 0:14:05.280
<v Speaker 2>like a civic cutility.

0:14:06.520 --> 0:14:08.600
<v Speaker 3>Well, it definitely feels that way, especially when you look

0:14:08.640 --> 0:14:11.680
<v Speaker 3>at like the politics that they're embracing too, right where

0:14:11.679 --> 0:14:14.400
<v Speaker 3>you have so many of these influential people in Silicon

0:14:14.480 --> 0:14:18.000
<v Speaker 3>Valley not just embracing like Donald Trump, but embracing this

0:14:18.080 --> 0:14:20.880
<v Speaker 3>form of far right politics that is, you know, gaining

0:14:20.920 --> 0:14:23.000
<v Speaker 3>steam in a number of countries around the world that

0:14:23.160 --> 0:14:27.320
<v Speaker 3>is explicitly anti democratic. You know, Elon Musk is talking

0:14:27.360 --> 0:14:29.480
<v Speaker 3>a lot a lot about that these days and saying

0:14:29.520 --> 0:14:33.000
<v Speaker 3>that he thinks the Democrats are going to end democracy. Meanwhile,

0:14:33.000 --> 0:14:35.880
<v Speaker 3>like Donald Trump is saying quite explicitly that you know,

0:14:35.920 --> 0:14:40.000
<v Speaker 3>he wants to impinge on democratic rights. And these people

0:14:40.040 --> 0:14:44.200
<v Speaker 3>have no problem like working with anti democratic leaders around

0:14:44.240 --> 0:14:46.320
<v Speaker 3>the world as long as they see it as the

0:14:46.360 --> 0:14:50.240
<v Speaker 3>way to like advance not only their kind of personal

0:14:50.280 --> 0:14:52.800
<v Speaker 3>interests and to make sure their companies do well, but

0:14:52.840 --> 0:14:55.040
<v Speaker 3>also again to try to realize this like type of

0:14:55.080 --> 0:14:58.800
<v Speaker 3>future that they think is desirable. I was just recently

0:14:58.800 --> 0:15:01.400
<v Speaker 3>talking to Julia Black, who's a reporter at the Information

0:15:01.440 --> 0:15:03.680
<v Speaker 3>about this, and she did a profile on Curtis Jarvin,

0:15:03.760 --> 0:15:06.520
<v Speaker 3>who is like, you know this guy who yeah, this

0:15:06.560 --> 0:15:08.920
<v Speaker 3>guy who like calls himself a dark Elf, but you know,

0:15:08.960 --> 0:15:10.840
<v Speaker 3>as one of the co founders of the Dark Enlightenment.

0:15:10.880 --> 0:15:14.600
<v Speaker 3>This like you know, this this like political movement that

0:15:14.680 --> 0:15:18.960
<v Speaker 3>wants to see a monarchy established in the United States,

0:15:19.040 --> 0:15:21.400
<v Speaker 3>that structured more like you know, the CEO of a

0:15:21.440 --> 0:15:25.160
<v Speaker 3>corporation to have you know, the United States ron as

0:15:25.200 --> 0:15:27.400
<v Speaker 3>an authoritarian state. And we know that Peter Teal and

0:15:27.400 --> 0:15:29.600
<v Speaker 3>Mark Andriesen and a ton of these guys like support

0:15:29.600 --> 0:15:32.080
<v Speaker 3>these ideas, so you know, like you can you can

0:15:32.080 --> 0:15:34.120
<v Speaker 3>see that with the data centers, you can see this

0:15:34.200 --> 0:15:38.360
<v Speaker 3>like concerning power grab as these infrastructures expand and they're

0:15:38.360 --> 0:15:41.480
<v Speaker 3>in the hands of these major tech companies. But even

0:15:41.520 --> 0:15:43.800
<v Speaker 3>when you look at like the leaders of these companies themselves,

0:15:43.800 --> 0:15:45.680
<v Speaker 3>you can see that they very much want to make

0:15:45.720 --> 0:15:48.000
<v Speaker 3>sure that, you know, the power of the people through

0:15:48.040 --> 0:15:50.960
<v Speaker 3>democracy is curtailed so that they can do whatever they want.

0:15:51.480 --> 0:15:53.520
<v Speaker 2>And if you want to know more about Curtis Yarvin,

0:15:53.840 --> 0:15:56.840
<v Speaker 2>somehow behind the bus has had ed helms On to

0:15:56.960 --> 0:16:01.880
<v Speaker 2>talk about Curtis Yarvin. Want to hear comedian Ed Helms

0:16:01.880 --> 0:16:07.200
<v Speaker 2>talk about one of the worst people alive, like, definitely

0:16:08.400 --> 0:16:11.920
<v Speaker 2>a bottle popper. When he pops his clogs, there will

0:16:11.960 --> 0:16:15.720
<v Speaker 2>all be celebrating. So has there been any pushback against

0:16:15.720 --> 0:16:19.920
<v Speaker 2>these data centers you've seen, either from governments or people. Yeah.

0:16:19.960 --> 0:16:22.800
<v Speaker 3>Absolutely, And that's part of the reason that I wanted

0:16:22.800 --> 0:16:26.160
<v Speaker 3>to make the series and also like why it came

0:16:26.280 --> 0:16:28.600
<v Speaker 3>much more on my radar because I started hearing these

0:16:28.640 --> 0:16:32.680
<v Speaker 3>stories of pushback happening really around the world, right. And

0:16:32.720 --> 0:16:35.520
<v Speaker 3>it started with just hearing like the story of the

0:16:35.600 --> 0:16:38.480
<v Speaker 3>dolls in Oregon, where these people were trying to find

0:16:38.520 --> 0:16:41.240
<v Speaker 3>out the amount of water that Google's data centers were using.

0:16:41.520 --> 0:16:44.640
<v Speaker 3>And then Google or sorry, then you know, there was

0:16:44.680 --> 0:16:47.800
<v Speaker 3>actually a lawsuit because Google wouldn't share that information and

0:16:47.840 --> 0:16:49.360
<v Speaker 3>it took a year for them to share it with

0:16:49.440 --> 0:16:52.200
<v Speaker 3>the Oregonian, which is the local newspaper, and they found

0:16:52.200 --> 0:16:55.360
<v Speaker 3>that over the past few years, Google's water use, I

0:16:55.400 --> 0:16:57.200
<v Speaker 3>think it was over the past five years, Google's water

0:16:57.280 --> 0:17:00.880
<v Speaker 3>use had tripled, you know, just in that city alone. Yeah,

0:17:00.960 --> 0:17:03.640
<v Speaker 3>so these are really significant developments, right, But then I

0:17:03.640 --> 0:17:06.399
<v Speaker 3>started to hear about how, say in Phoenix or northern

0:17:06.440 --> 0:17:08.760
<v Speaker 3>Virginia or many other parts of the United States, there

0:17:08.760 --> 0:17:11.040
<v Speaker 3>were also growing concerns about data centers. And then I

0:17:11.119 --> 0:17:13.760
<v Speaker 3>started to learn about in Ireland how now twenty one

0:17:13.800 --> 0:17:16.560
<v Speaker 3>percent of all electricity goes to data centers, and that's

0:17:16.600 --> 0:17:19.200
<v Speaker 3>causing concerns about the ability of the power grid to

0:17:19.320 --> 0:17:22.679
<v Speaker 3>keep up, you know, but also about whether you know

0:17:22.720 --> 0:17:24.879
<v Speaker 3>it makes sense to be allowing this many data centers

0:17:24.880 --> 0:17:27.040
<v Speaker 3>to be built. You know, concerns in Spain about the

0:17:27.040 --> 0:17:30.600
<v Speaker 3>amount of water usage in areas that are increasingly facing droughts.

0:17:31.160 --> 0:17:34.120
<v Speaker 3>You know, concerns in France and the Netherlands, but also

0:17:34.600 --> 0:17:37.679
<v Speaker 3>in parts of Asia, in South America, where communities in

0:17:37.760 --> 0:17:40.320
<v Speaker 3>Chile were saying like, if you build this massive Google

0:17:40.600 --> 0:17:43.680
<v Speaker 3>data center, will we still have running water into our homes,

0:17:43.720 --> 0:17:46.359
<v Speaker 3>and Google not being able to say like, yeah, definitely,

0:17:46.440 --> 0:17:48.000
<v Speaker 3>we can make sure that will happen, and so then

0:17:48.040 --> 0:17:50.880
<v Speaker 3>they campaign to try to stop it. Like around the world,

0:17:50.960 --> 0:17:54.240
<v Speaker 3>you're seeing the opposition to these things grow, and I

0:17:54.240 --> 0:17:56.120
<v Speaker 3>would say part of the reason for that, going back

0:17:56.119 --> 0:17:58.520
<v Speaker 3>to what I was saying earlier, is that, you know,

0:17:58.520 --> 0:18:00.960
<v Speaker 3>it's not just the scale of these structures, but it's

0:18:00.960 --> 0:18:03.520
<v Speaker 3>because these companies are trying to build out so many

0:18:03.560 --> 0:18:05.880
<v Speaker 3>more of them around the world, and when they get

0:18:05.920 --> 0:18:09.440
<v Speaker 3>located in these communities, once one is established, they usually

0:18:09.520 --> 0:18:11.720
<v Speaker 3>try to build more around it to cluster them, right,

0:18:11.800 --> 0:18:15.160
<v Speaker 3>because they're usually beneficial reasons why they've located one there

0:18:15.160 --> 0:18:17.760
<v Speaker 3>in the first place. And so then you have these

0:18:17.880 --> 0:18:21.879
<v Speaker 3>these increasingly you know, greater demands being placed on the

0:18:21.880 --> 0:18:25.040
<v Speaker 3>power grids and the water infrastructure of these communities, and

0:18:25.119 --> 0:18:27.440
<v Speaker 3>eventually it reaches the point where where many of them

0:18:27.560 --> 0:18:29.919
<v Speaker 3>start to break and start to say, like, wait, this

0:18:30.000 --> 0:18:33.080
<v Speaker 3>doesn't make sense anymore. You're threatening our own access to

0:18:33.200 --> 0:18:37.520
<v Speaker 3>electricity or to water or whatever. And so, you know,

0:18:37.680 --> 0:18:39.920
<v Speaker 3>that is why I, you know, I've been paying so

0:18:40.000 --> 0:18:42.240
<v Speaker 3>much more attention to this issue because I think it's

0:18:42.240 --> 0:18:45.000
<v Speaker 3>something that we're all going to be hearing much more about.

0:18:45.240 --> 0:18:47.760
<v Speaker 3>And I think that the earlier that we do start

0:18:47.800 --> 0:18:49.880
<v Speaker 3>to take notice of these problems and start to push

0:18:49.920 --> 0:18:53.119
<v Speaker 3>back on them, you know, the hopefully the earlier we

0:18:53.119 --> 0:18:55.400
<v Speaker 3>can start to curtail these effects and make sure that

0:18:56.320 --> 0:18:58.200
<v Speaker 3>you know, these companies can't just get away with doing

0:18:58.240 --> 0:18:58.880
<v Speaker 3>whatever they want.

0:18:59.440 --> 0:19:03.119
<v Speaker 2>Have we seen any situations where they have actually stopped

0:19:03.160 --> 0:19:04.760
<v Speaker 2>people accessing power or water?

0:19:06.600 --> 0:19:09.639
<v Speaker 3>Yeah, So in a few places we have seen like

0:19:09.720 --> 0:19:12.480
<v Speaker 3>the grids actually be threatened. So for example, in Ireland

0:19:12.480 --> 0:19:15.520
<v Speaker 3>now the grid operator in the winter often has to

0:19:15.560 --> 0:19:18.119
<v Speaker 3>issue these amber alerts to basically say to people like,

0:19:18.920 --> 0:19:23.280
<v Speaker 3>reduce your energy consumption or we're going to start doing

0:19:23.600 --> 0:19:27.960
<v Speaker 3>rolling blackouts. There were concerns. There's a story that Karen

0:19:28.000 --> 0:19:31.119
<v Speaker 3>Howe wrote in The Atlantic about what was going on

0:19:31.160 --> 0:19:34.560
<v Speaker 3>in Phoenix, and one of the biggest concerns there is,

0:19:34.600 --> 0:19:38.880
<v Speaker 3>of course, is you know, Phoenix's has a lot of desert. Yeah,

0:19:39.000 --> 0:19:42.600
<v Speaker 3>Phoenix experiences drought a lot. And so as more and

0:19:42.600 --> 0:19:45.040
<v Speaker 3>more data centers are being built there because the energy

0:19:45.080 --> 0:19:47.359
<v Speaker 3>it tends to be cheaper and tends to be have

0:19:47.400 --> 0:19:50.040
<v Speaker 3>a higher kind of percentage of renewables in there is

0:19:50.080 --> 0:19:54.120
<v Speaker 3>my understanding that they're going there regardless of the water impacts,

0:19:54.119 --> 0:19:57.399
<v Speaker 3>and so they're growing concerns about people's ability to you know,

0:19:58.160 --> 0:20:00.840
<v Speaker 3>access water when these data centers need much despite the

0:20:00.920 --> 0:20:03.760
<v Speaker 3>drought conditions that so many people are facing. And how

0:20:03.800 --> 0:20:06.480
<v Speaker 3>we know that you know, governments tend to turn off

0:20:06.520 --> 0:20:09.919
<v Speaker 3>water to the populations before the businesses that that just

0:20:10.160 --> 0:20:11.040
<v Speaker 3>on these sorts of things.

0:20:11.359 --> 0:20:17.520
<v Speaker 2>Yeah, it's truly awful like that It's why every time

0:20:17.520 --> 0:20:19.159
<v Speaker 2>I think of stuff like that, I start getting a

0:20:19.200 --> 0:20:21.439
<v Speaker 2>bit crazy, because it's just like you'd think that they

0:20:21.440 --> 0:20:24.639
<v Speaker 2>would say, well, actually, what we want to do is

0:20:24.720 --> 0:20:26.879
<v Speaker 2>turn it off for the business. No, no, no, we

0:20:26.960 --> 0:20:30.240
<v Speaker 2>must make sure the businesses can keep generating AI garfields.

0:20:30.280 --> 0:20:34.200
<v Speaker 2>If we don't have garfields with AK forty seven, well

0:20:34.600 --> 0:20:36.520
<v Speaker 2>what use is being able to drink water?

0:20:37.840 --> 0:20:40.359
<v Speaker 3>Exactly. One of the wild things too, that I was

0:20:40.440 --> 0:20:44.879
<v Speaker 3>learning about in Ireland in particular, is that so you know,

0:20:44.960 --> 0:20:46.720
<v Speaker 3>like I was saying, there's twenty one percent of all

0:20:46.720 --> 0:20:49.520
<v Speaker 3>the electricity now in that country is going to data centers.

0:20:49.520 --> 0:20:52.480
<v Speaker 3>It's projected to be about a third by twenty thirty.

0:20:53.280 --> 0:20:56.639
<v Speaker 3>And so for a while, the government there, or at

0:20:56.720 --> 0:20:59.080
<v Speaker 3>least in certain jurisdictions of the country, kind of stopped

0:20:59.080 --> 0:21:02.880
<v Speaker 3>connecting data centers to the grid, stop making new grid connections,

0:21:02.960 --> 0:21:05.480
<v Speaker 3>because you know, they were like, there's not enough power

0:21:05.520 --> 0:21:08.240
<v Speaker 3>to supply these infrastructures. And so what these data centers

0:21:08.240 --> 0:21:13.480
<v Speaker 3>started doing instead was to build local methane gas generation

0:21:13.640 --> 0:21:17.360
<v Speaker 3>facilities to bring in the gas themselves to the empower

0:21:17.440 --> 0:21:20.280
<v Speaker 3>the data center because they couldn't connect directly to the grid.

0:21:20.560 --> 0:21:22.480
<v Speaker 3>And then of course you you know, you can imagine

0:21:22.480 --> 0:21:25.520
<v Speaker 3>all the additional emissions that that creates with this kind

0:21:25.560 --> 0:21:29.199
<v Speaker 3>of like local gas generation infrastructure, and that's one of

0:21:29.200 --> 0:21:33.760
<v Speaker 3>the things that's contributing to Ireland, you know, not you know,

0:21:33.800 --> 0:21:36.000
<v Speaker 3>being able to meet its climate targets, or that not

0:21:36.040 --> 0:21:39.000
<v Speaker 3>really being in reach. One of the local tds or

0:21:39.000 --> 0:21:41.800
<v Speaker 3>members of Parliament who I spoke to there basically told

0:21:41.800 --> 0:21:44.679
<v Speaker 3>me that, like, there is renewable energy being added to

0:21:44.680 --> 0:21:46.840
<v Speaker 3>the grid in Ireland, but the problem that we face

0:21:46.920 --> 0:21:49.720
<v Speaker 3>is that because the energy demand is increasing so rapidly

0:21:50.119 --> 0:21:52.399
<v Speaker 3>that you know, the renewables just go to powering the

0:21:52.480 --> 0:21:54.800
<v Speaker 3>data centers and we can't turn the fossil fuels off.

0:21:54.960 --> 0:21:56.680
<v Speaker 3>And we're seeing a ton of stories about that in

0:21:56.720 --> 0:22:00.000
<v Speaker 3>the United States as well, where yes, renewables are being

0:22:00.040 --> 0:22:02.040
<v Speaker 3>added to the grid, but the fossil fuels are not

0:22:02.080 --> 0:22:04.360
<v Speaker 3>being turned off next to it, and in some cases

0:22:04.680 --> 0:22:08.359
<v Speaker 3>fossil fuel infrastructure is actually being reactivated. Or there was

0:22:08.400 --> 0:22:10.359
<v Speaker 3>a story and I can't remember what was Bloomberg or

0:22:10.400 --> 0:22:13.320
<v Speaker 3>the Financial Times recently that basically said the United States

0:22:13.359 --> 0:22:16.480
<v Speaker 3>is investing in new fossil fuel infrastructure at the fastest

0:22:16.560 --> 0:22:18.400
<v Speaker 3>rate it has in years, which is.

0:22:18.359 --> 0:22:22.720
<v Speaker 2>Like Northern Virginia the data center rally. That's a very

0:22:22.760 --> 0:22:27.720
<v Speaker 2>depressing thing. I want to die. My question is why

0:22:27.720 --> 0:22:29.840
<v Speaker 2>don't we I know this is perhaps a little bit

0:22:30.119 --> 0:22:32.400
<v Speaker 2>blunt force, but why are we not making them pay

0:22:32.560 --> 0:22:35.040
<v Speaker 2>to upgrade the infrastructure? Why why is the government not

0:22:35.119 --> 0:22:37.439
<v Speaker 2>just being like, you want this shit, go and build

0:22:37.480 --> 0:22:40.639
<v Speaker 2>it for us, give us the money, we'll do it.

0:22:40.760 --> 0:22:43.800
<v Speaker 2>Is that happy? I know we've this nuclear power plants, but.

0:22:45.880 --> 0:22:49.399
<v Speaker 3>In some places that is happening actually, so in the Dolls,

0:22:49.440 --> 0:22:52.240
<v Speaker 3>for example, in Oregon, you know where I think maybe

0:22:52.240 --> 0:22:54.840
<v Speaker 3>most people probably heard the story of that because Google,

0:22:55.160 --> 0:22:57.400
<v Speaker 3>you know, was trying to hold back its water use

0:22:58.560 --> 0:23:01.320
<v Speaker 3>you know, data and whatnot and eventually had to share it.

0:23:02.080 --> 0:23:04.280
<v Speaker 3>But in that case, you know, they have made an

0:23:04.320 --> 0:23:07.880
<v Speaker 3>agreement with the local council in order to upgrade their

0:23:07.880 --> 0:23:12.040
<v Speaker 3>water infrastructure so that they should have more water available. Again,

0:23:12.119 --> 0:23:15.480
<v Speaker 3>that doesn't mean that the community isn't still concerned about

0:23:15.480 --> 0:23:17.440
<v Speaker 3>water access and what's going to.

0:23:17.359 --> 0:23:21.080
<v Speaker 2>Happen the finite. It's not an unlimited amount of it.

0:23:21.200 --> 0:23:23.320
<v Speaker 2>More infrastructure isn't going to help it if we run

0:23:23.359 --> 0:23:23.880
<v Speaker 2>out of it.

0:23:24.600 --> 0:23:26.719
<v Speaker 3>Yeah, that's a pretty fundamental issue, right.

0:23:28.440 --> 0:23:30.359
<v Speaker 2>How do you feel about the nuclear power side, because

0:23:30.359 --> 0:23:32.879
<v Speaker 2>I'm kind of fifty to fifty. I like nuclear power,

0:23:33.800 --> 0:23:35.880
<v Speaker 2>I think, say it back, but it seems like it's

0:23:36.359 --> 0:23:39.080
<v Speaker 2>it seems like they're privatizing it, which is not solving

0:23:39.119 --> 0:23:40.160
<v Speaker 2>the problem.

0:23:40.600 --> 0:23:43.520
<v Speaker 3>Yeah, I would say I'm probably more on the skeptical

0:23:43.520 --> 0:23:46.120
<v Speaker 3>side of nuclear power, and that's for a few reasons.

0:23:46.680 --> 0:23:49.360
<v Speaker 3>Where nuclear power exists, I think it doesn't make any

0:23:49.400 --> 0:23:52.159
<v Speaker 3>sense to turn it off, right because that's going to

0:23:52.160 --> 0:23:55.040
<v Speaker 3>be far better than any kind of fossil fuel generation

0:23:55.160 --> 0:23:57.000
<v Speaker 3>that we're doing, and that should be kind of one

0:23:57.040 --> 0:23:59.359
<v Speaker 3>of the last things that we actually target for replacement

0:23:59.400 --> 0:24:02.520
<v Speaker 3>with renewed or whatnot. Like, I don't totally agree with say,

0:24:02.520 --> 0:24:05.240
<v Speaker 3>Germany turning off it's nuclear energy and going back to coal.

0:24:05.320 --> 0:24:08.200
<v Speaker 3>I think that that is a mistake. But I'm more

0:24:08.240 --> 0:24:12.320
<v Speaker 3>skeptical of investing in nuclear at this point and treating

0:24:12.359 --> 0:24:15.760
<v Speaker 3>it as you know, like a climate response, because we

0:24:15.920 --> 0:24:20.240
<v Speaker 3>know that nuclear energy is not only very expensive, but

0:24:20.359 --> 0:24:22.800
<v Speaker 3>takes so much time to like set up a new

0:24:23.080 --> 0:24:25.440
<v Speaker 3>nuclear plant, And it feels like at this point, when

0:24:25.440 --> 0:24:29.840
<v Speaker 3>we've seen the cost of installing solar and wind energy

0:24:29.880 --> 0:24:32.520
<v Speaker 3>declined so much in recent years, that it feels much

0:24:32.560 --> 0:24:35.359
<v Speaker 3>more kind of not just cost effective, but much more

0:24:35.480 --> 0:24:38.120
<v Speaker 3>rapid to just invest it in, you know, building out

0:24:38.160 --> 0:24:40.440
<v Speaker 3>large gale renewables instead.

0:24:41.000 --> 0:24:43.480
<v Speaker 2>Renewables don't generate power quite as fast.

0:24:44.680 --> 0:24:47.760
<v Speaker 3>Well possibly, you know you can you can set up

0:24:47.800 --> 0:24:50.399
<v Speaker 3>the battery storage facilities and things like that to store

0:24:50.440 --> 0:24:53.480
<v Speaker 3>things for the times when it's not generating. Yeah, that's

0:24:53.560 --> 0:25:08.800
<v Speaker 3>kind of the way that that I see it.

0:25:08.800 --> 0:25:10.919
<v Speaker 2>It's so funny. I think something's just come to me

0:25:11.040 --> 0:25:13.440
<v Speaker 2>with this as well. That really pisses me off, which

0:25:13.440 --> 0:25:16.080
<v Speaker 2>is I know, unusual for me, the sense that you

0:25:16.160 --> 0:25:18.480
<v Speaker 2>just mentioned battery storage. What if they put all the

0:25:18.520 --> 0:25:21.320
<v Speaker 2>money into investing into stuff like that, What if all

0:25:21.359 --> 0:25:23.520
<v Speaker 2>of this money could go into inventing them that would

0:25:23.520 --> 0:25:25.960
<v Speaker 2>be my make Casey brought this up recently. It's like

0:25:26.000 --> 0:25:28.280
<v Speaker 2>one of the very clear places money could go that

0:25:28.320 --> 0:25:32.000
<v Speaker 2>would be very good. Like if we had massive battery

0:25:32.040 --> 0:25:35.000
<v Speaker 2>storage for power, this would solve many problems and actually

0:25:35.000 --> 0:25:38.879
<v Speaker 2>probably create new things we could do, especially in double conscious,

0:25:38.920 --> 0:25:40.879
<v Speaker 2>we could dug genuinely do amazing things in the world.

0:25:41.040 --> 0:25:43.560
<v Speaker 2>Even describing it now, I feel more excited about this

0:25:43.600 --> 0:25:47.080
<v Speaker 2>than Generative AI. But it almost feels like they're kind

0:25:47.080 --> 0:25:49.679
<v Speaker 2>of lazy that they don't want to solve the actual

0:25:49.680 --> 0:25:52.240
<v Speaker 2>problems to get to the point that they just want

0:25:52.280 --> 0:25:54.320
<v Speaker 2>to build more and keep doing the bullshit they've been

0:25:54.359 --> 0:25:55.000
<v Speaker 2>doing for years.

0:25:56.080 --> 0:25:58.800
<v Speaker 3>I feel like part of it is profitability as well. Right, Like,

0:25:59.119 --> 0:26:01.800
<v Speaker 3>when you think about investing in like so called tech

0:26:01.920 --> 0:26:05.280
<v Speaker 3>or generative AI or what have you. Whenever we have

0:26:05.359 --> 0:26:08.159
<v Speaker 3>investors thinking about tech businesses, we're thinking about these kind

0:26:08.200 --> 0:26:10.639
<v Speaker 3>of really rapid takeoffs in the amount of money that

0:26:10.640 --> 0:26:12.639
<v Speaker 3>they're going to make. That the chance for these like

0:26:12.800 --> 0:26:16.320
<v Speaker 3>really significant payoffs is the money if the company really works.

0:26:16.760 --> 0:26:19.480
<v Speaker 3>And so you often have these companies trading at multiples

0:26:19.480 --> 0:26:21.840
<v Speaker 3>that are far above say, what a traditional company would

0:26:21.840 --> 0:26:24.600
<v Speaker 3>trade at when it goes public. Right Whereas if you

0:26:24.640 --> 0:26:27.919
<v Speaker 3>think of like a more traditional type of company, the

0:26:27.960 --> 0:26:30.040
<v Speaker 3>possibilities with the chances that you're going to get this

0:26:30.080 --> 0:26:32.200
<v Speaker 3>massive payoff are far lower, and so there's less of

0:26:32.200 --> 0:26:34.959
<v Speaker 3>an incentive to put your money into that type of place,

0:26:35.080 --> 0:26:38.080
<v Speaker 3>when say, some sort of tech business is going to

0:26:38.119 --> 0:26:41.199
<v Speaker 3>have you know, this much greater chance of having this

0:26:41.280 --> 0:26:43.439
<v Speaker 3>huge payoff. And so I think that that is like

0:26:43.520 --> 0:26:46.320
<v Speaker 3>one place where you know, obviously we live in a

0:26:46.359 --> 0:26:49.639
<v Speaker 3>capitalist system where our incentives are kind of misaligned, And

0:26:49.880 --> 0:26:52.000
<v Speaker 3>it's one of the things that I find quite silly,

0:26:52.000 --> 0:26:54.399
<v Speaker 3>where like, you know, the United States is having this

0:26:54.440 --> 0:26:56.960
<v Speaker 3>big feud with China now and very concerned about the

0:26:57.480 --> 0:27:01.199
<v Speaker 3>you know, the ability for Chinese tech companies and whatnot

0:27:01.240 --> 0:27:05.080
<v Speaker 3>to compete with US companies on the global stage automakers

0:27:05.080 --> 0:27:07.440
<v Speaker 3>and things as well. But one of the reasons that

0:27:07.520 --> 0:27:09.760
<v Speaker 3>solar energy is so cheap and one of the reasons

0:27:09.760 --> 0:27:13.840
<v Speaker 3>that we've had this like significant expansion in evs. You know,

0:27:13.880 --> 0:27:16.520
<v Speaker 3>we often point to Elon Musk for example, is like,

0:27:16.840 --> 0:27:18.840
<v Speaker 3>you know, the one who deserves all the credit for that.

0:27:19.280 --> 0:27:21.760
<v Speaker 3>But the Chinese have really been successful in bringing down

0:27:21.840 --> 0:27:24.639
<v Speaker 3>the costs of those types of technologies solar panels and

0:27:24.680 --> 0:27:28.239
<v Speaker 3>batteries and things like that in particular. And yeah, you know,

0:27:28.520 --> 0:27:30.080
<v Speaker 3>I think that we should be trying to like build

0:27:30.119 --> 0:27:32.200
<v Speaker 3>on that rather than just trying to like exclude the

0:27:32.280 --> 0:27:34.560
<v Speaker 3>cheaper stuff from our markets.

0:27:35.040 --> 0:27:38.440
<v Speaker 2>Well, fundamentally disagree Paris, because I don't want any Chinese

0:27:38.440 --> 0:27:43.200
<v Speaker 2>companies in like stealing my data, tracking Americans, using that

0:27:43.680 --> 0:27:47.200
<v Speaker 2>to monetize them somehow and manipulating them using that that's

0:27:47.280 --> 0:27:51.399
<v Speaker 2>for American businesses. We keep all surveillance capitalism in the

0:27:51.560 --> 0:27:54.000
<v Speaker 2>US of A. It's just pisses me off as well,

0:27:54.040 --> 0:27:58.000
<v Speaker 2>because I look, I'm not getting into geopolitics, but it

0:27:58.040 --> 0:28:01.840
<v Speaker 2>feels like some of the AI boom is even driven

0:28:01.880 --> 0:28:04.840
<v Speaker 2>by that cinephobia, the sense that if we don't build it,

0:28:04.880 --> 0:28:08.080
<v Speaker 2>the Chinese will build their AI and their garfields will

0:28:08.080 --> 0:28:12.000
<v Speaker 2>be even bustier than ours. And it's just frustrating because

0:28:12.520 --> 0:28:14.520
<v Speaker 2>I don't know about working with the Chinese. I'm not

0:28:14.520 --> 0:28:16.560
<v Speaker 2>going to get into that. But also it feels like

0:28:16.600 --> 0:28:18.720
<v Speaker 2>a dumber, stupid world. What we have another country that's

0:28:18.760 --> 0:28:21.919
<v Speaker 2>building things fast, probably in ways that we might not

0:28:22.160 --> 0:28:25.480
<v Speaker 2>want to do labor wise, I don't know. But nevertheless,

0:28:25.480 --> 0:28:29.280
<v Speaker 2>it feels like we're actually not all of this rapid expansion.

0:28:29.359 --> 0:28:33.040
<v Speaker 2>All of this shit we're supposedly building doesn't actually seem

0:28:33.080 --> 0:28:38.080
<v Speaker 2>to be innovation. It just is capitalist sprawl.

0:28:39.360 --> 0:28:41.920
<v Speaker 3>Yeah, I definitely agree. Right, it feels like Silicon Valley

0:28:42.000 --> 0:28:44.640
<v Speaker 3>left innovation behind quite a while ago. Like I think

0:28:44.680 --> 0:28:47.640
<v Speaker 3>that you can very genuinely say that in the early

0:28:47.720 --> 0:28:50.640
<v Speaker 3>days of the Internet there was innovation going on, right,

0:28:51.240 --> 0:28:53.800
<v Speaker 3>whether it was in you know, software development, but also

0:28:53.840 --> 0:28:56.360
<v Speaker 3>in hardware development too, right, you know, the emergence of

0:28:56.400 --> 0:28:58.960
<v Speaker 3>the mobile phone, and you know, we can even say

0:28:58.960 --> 0:29:01.440
<v Speaker 3>the iPad and those sorts of things, but it feels

0:29:01.440 --> 0:29:06.800
<v Speaker 3>like now, you know, those types of developments, those innovations

0:29:06.840 --> 0:29:09.600
<v Speaker 3>have matured, and it does feel like the industry is

0:29:09.880 --> 0:29:12.080
<v Speaker 3>you know, kind of sort of trying to grope for

0:29:12.160 --> 0:29:15.720
<v Speaker 3>whatever might come next, but really failing in doing that

0:29:15.880 --> 0:29:19.600
<v Speaker 3>because you know, their profits and their whole businesses are

0:29:19.640 --> 0:29:22.320
<v Speaker 3>tied up in what is currently successful at the moment,

0:29:22.600 --> 0:29:24.440
<v Speaker 3>and I think a lot of them don't want to

0:29:24.480 --> 0:29:27.360
<v Speaker 3>disrupt what is working for them and want to protect

0:29:27.600 --> 0:29:30.920
<v Speaker 3>these what are now basically legacy businesses that they have

0:29:31.000 --> 0:29:33.680
<v Speaker 3>built up and that they're now kind of soaking for cash, right,

0:29:34.960 --> 0:29:36.920
<v Speaker 3>And so I don't think that we should be looking

0:29:36.960 --> 0:29:39.840
<v Speaker 3>to the Googles or Apples or Amazons of the world

0:29:39.840 --> 0:29:42.720
<v Speaker 3>for innovation and for the path forward for what is

0:29:42.760 --> 0:29:45.240
<v Speaker 3>going to come next. And I think that even like

0:29:45.360 --> 0:29:47.800
<v Speaker 3>if you think back to like the Internet era and

0:29:48.080 --> 0:29:50.800
<v Speaker 3>things that came before, you know, often what a lot

0:29:50.800 --> 0:29:53.760
<v Speaker 3>of people have observed, you know, Mariana Mazocato has this

0:29:53.800 --> 0:29:56.479
<v Speaker 3>great book called I Think It's the Entrepreneurial State that

0:29:56.520 --> 0:29:58.600
<v Speaker 3>goes into this as well. How a lot of the

0:29:58.640 --> 0:30:01.160
<v Speaker 3>things that these companies were able to launch and able

0:30:01.200 --> 0:30:03.560
<v Speaker 3>to make so much money from were ultimately things that

0:30:03.600 --> 0:30:07.000
<v Speaker 3>were being developed in the public sector and that they

0:30:07.000 --> 0:30:09.520
<v Speaker 3>were able to privatize and make a lot of money

0:30:09.520 --> 0:30:09.760
<v Speaker 3>off of.

0:30:09.840 --> 0:30:10.000
<v Speaker 1>Right.

0:30:10.040 --> 0:30:13.240
<v Speaker 3>Obviously, the Internet was a public innovation before it was privatized,

0:30:13.280 --> 0:30:15.880
<v Speaker 3>and all these companies could use it and commercialize it

0:30:15.880 --> 0:30:18.800
<v Speaker 3>and whatnot. Right, And I feel like something has broken

0:30:18.840 --> 0:30:22.120
<v Speaker 3>down there as well, where so much public research seems

0:30:22.160 --> 0:30:24.520
<v Speaker 3>to be focused on a very early stage and like

0:30:24.880 --> 0:30:28.280
<v Speaker 3>what is the commercialized potential of this, rather than just saying,

0:30:28.320 --> 0:30:30.680
<v Speaker 3>forget about commercialization for a while and let's just like

0:30:30.760 --> 0:30:32.720
<v Speaker 3>work on these things and see if it goes anywhere.

0:30:33.240 --> 0:30:35.320
<v Speaker 3>And it just feels like in general, like you know,

0:30:35.400 --> 0:30:39.720
<v Speaker 3>our deep commitment to capitalism in our society has broken down.

0:30:40.040 --> 0:30:43.440
<v Speaker 3>Whereas before, like it used to be measured a bit

0:30:44.200 --> 0:30:46.920
<v Speaker 3>because there needed to be like certain deliverables for people

0:30:46.920 --> 0:30:49.760
<v Speaker 3>and you know, a different kind of an expectation. But

0:30:49.800 --> 0:30:51.600
<v Speaker 3>at this point we've just gone so full tilt on,

0:30:51.720 --> 0:30:53.680
<v Speaker 3>like whatever makes profit is what we need to do,

0:30:54.040 --> 0:30:56.200
<v Speaker 3>that we've lost the things that ultimately contribute to that

0:30:56.240 --> 0:30:58.240
<v Speaker 3>in the long term rather than just focusing on the

0:30:58.240 --> 0:30:58.880
<v Speaker 3>short term.

0:30:59.320 --> 0:31:02.160
<v Speaker 2>And it makes me think about like giving things time

0:31:02.240 --> 0:31:06.000
<v Speaker 2>to build, because generative AI as an idea, you have

0:31:06.040 --> 0:31:08.160
<v Speaker 2>to wonder if they left it alone for another five

0:31:08.200 --> 0:31:11.520
<v Speaker 2>to ten years without doing this, whether it might have

0:31:11.600 --> 0:31:14.800
<v Speaker 2>actually been good if there was potential for this, because

0:31:14.840 --> 0:31:17.520
<v Speaker 2>I think with long gone with large language models on

0:31:17.600 --> 0:31:19.640
<v Speaker 2>device stuff I think is cool. But nevertheless we're not

0:31:19.640 --> 0:31:22.800
<v Speaker 2>talking about that. But it's kind of we instead of

0:31:23.680 --> 0:31:27.040
<v Speaker 2>investing in public things or nonprofits that actually build the

0:31:27.080 --> 0:31:31.080
<v Speaker 2>building blocks that make innovation happen, we've allowed companies like

0:31:31.160 --> 0:31:34.520
<v Speaker 2>Qualcom to vacuum up various codecs and standards to the

0:31:34.520 --> 0:31:36.680
<v Speaker 2>point that most of them are owned by one company,

0:31:37.240 --> 0:31:39.960
<v Speaker 2>and then we pile our We don't really have anyone

0:31:40.000 --> 0:31:43.239
<v Speaker 2>in power anymore, so who understands what the fuck's going on?

0:31:43.600 --> 0:31:46.440
<v Speaker 2>So we pile all that cash into something that kind

0:31:46.440 --> 0:31:49.000
<v Speaker 2>of looks like the future because I think about the iPhone.

0:31:49.120 --> 0:31:51.000
<v Speaker 2>I was talking to someone about Jim Cavello and the

0:31:51.040 --> 0:31:54.480
<v Speaker 2>Generative AI paper from Goldman earlier, and he was saying

0:31:54.520 --> 0:31:57.440
<v Speaker 2>how one of the big things that made the smartphone

0:31:57.480 --> 0:31:59.600
<v Speaker 2>revolution happen, one of the things that they knew when

0:31:59.640 --> 0:32:03.520
<v Speaker 2>this happened, and we'd bring in was small GPS was

0:32:03.520 --> 0:32:06.720
<v Speaker 2>the ability to have device level GPS and of course

0:32:06.760 --> 0:32:08.960
<v Speaker 2>the chips that support and then someone would need to

0:32:08.960 --> 0:32:11.280
<v Speaker 2>build the software layer, which is where Apple came in,

0:32:11.320 --> 0:32:14.880
<v Speaker 2>and then Android to some extent, and we don't have

0:32:14.960 --> 0:32:18.560
<v Speaker 2>that building block. We have one thing. We have generative AI.

0:32:18.600 --> 0:32:21.680
<v Speaker 2>We have transformer based models, and we're going to put

0:32:21.720 --> 0:32:24.960
<v Speaker 2>all the money in that in the hopes that no

0:32:25.000 --> 0:32:27.400
<v Speaker 2>one's even thinking of what the next devices might look.

0:32:27.440 --> 0:32:29.880
<v Speaker 2>I can't stop thinking about batteries now, because that really

0:32:29.920 --> 0:32:33.160
<v Speaker 2>is it. It's if we had a battery that could

0:32:33.160 --> 0:32:35.000
<v Speaker 2>power I don't know, I'm being a bit wanky here

0:32:35.080 --> 0:32:37.520
<v Speaker 2>a city. Actually I'm not being wanky. This is less

0:32:37.520 --> 0:32:40.400
<v Speaker 2>wanky than what Sam Mormon says every day. That feels

0:32:40.480 --> 0:32:43.760
<v Speaker 2>like or incredibly small batteries which are powerful that would

0:32:43.880 --> 0:32:47.560
<v Speaker 2>enable all sorts of things. EDGAI is exciting, but they've

0:32:47.560 --> 0:32:51.000
<v Speaker 2>been working on it's been around ten years. None of

0:32:51.000 --> 0:32:55.080
<v Speaker 2>the people in power seem to actually be aware of

0:32:55.120 --> 0:32:58.200
<v Speaker 2>how good things are built, which I guess explains the

0:32:58.280 --> 0:33:00.280
<v Speaker 2>data center expansion, because if you think of it like

0:33:00.280 --> 0:33:02.680
<v Speaker 2>a dumb fuck, if you're like, huh, how do we

0:33:02.720 --> 0:33:05.000
<v Speaker 2>make money? We got those data centers right, Well, if

0:33:05.000 --> 0:33:08.240
<v Speaker 2>we build more of them. Yeah, what if they're really big,

0:33:09.320 --> 0:33:12.479
<v Speaker 2>then the money will come out. I'm just are you worried.

0:33:12.560 --> 0:33:15.560
<v Speaker 2>I'm a bit worried about the entire tech economy at

0:33:15.560 --> 0:33:17.280
<v Speaker 2>this point. That's put the environment, but like.

0:33:18.160 --> 0:33:20.680
<v Speaker 3>I'm worried about it all, you know, I'm less worried

0:33:20.680 --> 0:33:22.720
<v Speaker 3>about the tech economy in the sense of like will

0:33:22.720 --> 0:33:24.720
<v Speaker 3>they be profitable enough, will they make their money? Like

0:33:24.720 --> 0:33:26.840
<v Speaker 3>I don't really care about that. That's not like it's

0:33:26.880 --> 0:33:28.840
<v Speaker 3>something that's important to me, and I know that's the

0:33:28.840 --> 0:33:31.400
<v Speaker 3>same for you. But it's like I do worry about

0:33:31.400 --> 0:33:34.640
<v Speaker 3>where it's going because they're broad broader, like societal impacts

0:33:34.680 --> 0:33:36.760
<v Speaker 3>to everything that they do. Right on the one hand,

0:33:36.760 --> 0:33:39.160
<v Speaker 3>because of like the expectation that we need to adopt

0:33:39.160 --> 0:33:41.320
<v Speaker 3>so many of these things, but also because our governments

0:33:41.320 --> 0:33:43.840
<v Speaker 3>so much are supporting and you know, willing to push

0:33:43.880 --> 0:33:46.920
<v Speaker 3>out and not regulate effectively whatever it is that they

0:33:46.960 --> 0:33:49.640
<v Speaker 3>do until it's too late. And I feel like, you

0:33:49.680 --> 0:33:52.160
<v Speaker 3>know what you're talking about with generative AI even you know,

0:33:52.160 --> 0:33:54.080
<v Speaker 3>and I'm not going to claim to be, like, you know,

0:33:54.160 --> 0:33:57.240
<v Speaker 3>the most knowledgeable person in the world about the technical

0:33:57.280 --> 0:33:59.960
<v Speaker 3>angle of that, but when you look at what, say,

0:34:00.080 --> 0:34:01.880
<v Speaker 3>open AI was trying to do, and what all these

0:34:01.920 --> 0:34:04.000
<v Speaker 3>other companies have kind of chased after is they were

0:34:04.040 --> 0:34:07.680
<v Speaker 3>trying to build like the general foundation model that could

0:34:07.720 --> 0:34:12.160
<v Speaker 3>do virtually everything right, and you speak to AI researchers

0:34:12.239 --> 0:34:15.480
<v Speaker 3>or you know, I've spoken to some AI researchers who say, like, yes,

0:34:15.560 --> 0:34:18.759
<v Speaker 3>that is very energy intensive, that is going to take

0:34:18.800 --> 0:34:21.080
<v Speaker 3>a lot of power, energy data in order to.

0:34:21.120 --> 0:34:21.680
<v Speaker 2>Make it work.

0:34:21.880 --> 0:34:25.960
<v Speaker 3>But you can like train very tailored, much smaller models

0:34:26.120 --> 0:34:29.799
<v Speaker 3>that are not nearly as computationally or energy intensive as

0:34:30.160 --> 0:34:32.600
<v Speaker 3>the direction that these companies have chosen to go in.

0:34:32.880 --> 0:34:35.040
<v Speaker 3>But we are not doing that, you know. And I

0:34:35.040 --> 0:34:37.760
<v Speaker 3>think for a few reasons, mainly because on the one hand,

0:34:37.960 --> 0:34:40.640
<v Speaker 3>there is like the expectation of scale or the desire

0:34:40.719 --> 0:34:43.600
<v Speaker 3>of scale that comes with these general foundation models. I

0:34:43.640 --> 0:34:45.719
<v Speaker 3>think that there is the other side of it where

0:34:46.480 --> 0:34:49.200
<v Speaker 3>it's very beneficial to the tech companies that exist, you know,

0:34:49.239 --> 0:34:53.200
<v Speaker 3>the cloud giants, because if you're competing on this scale

0:34:53.239 --> 0:34:56.360
<v Speaker 3>of general foundation models that need so much computation in

0:34:56.440 --> 0:34:58.840
<v Speaker 3>order to train that, it's very difficult for smaller companies

0:34:58.840 --> 0:35:01.920
<v Speaker 3>to like compete on level. But then I think it

0:35:02.000 --> 0:35:04.880
<v Speaker 3>also plays into that ideological angle of it that I

0:35:04.920 --> 0:35:07.440
<v Speaker 3>was talking about earlier, where you have these people who

0:35:07.480 --> 0:35:10.560
<v Speaker 3>are leading the tech industry who fundamentally believe that we

0:35:10.680 --> 0:35:14.120
<v Speaker 3>need to build like you know, AI with human intelligence

0:35:14.120 --> 0:35:16.839
<v Speaker 3>and eventually merge our brains with machines. And so if

0:35:16.840 --> 0:35:19.920
<v Speaker 3>we're not building these massive general models, then we're not

0:35:19.960 --> 0:35:23.640
<v Speaker 3>getting closer in their minds to achieving this, which I

0:35:23.680 --> 0:35:26.160
<v Speaker 3>think is ultimately something that's never going to get built

0:35:26.160 --> 0:35:28.040
<v Speaker 3>because I don't think it makes sense. Actually, I think

0:35:28.040 --> 0:35:30.759
<v Speaker 3>it's just science fiction, but I think that is like

0:35:30.880 --> 0:35:32.319
<v Speaker 3>part of what's driving these people too.

0:35:33.560 --> 0:35:36.239
<v Speaker 2>So to finish us off, So you've got two episodes

0:35:36.280 --> 0:35:38.720
<v Speaker 2>out right, now, what have we got to look forward

0:35:38.719 --> 0:35:39.880
<v Speaker 2>to with the rest of the series?

0:35:39.920 --> 0:35:43.040
<v Speaker 3>Even yeah, absolutely, you know. The first one looked into

0:35:43.040 --> 0:35:45.240
<v Speaker 3>like what these data centers are, where they're coming from.

0:35:45.360 --> 0:35:48.160
<v Speaker 3>The second one looked into what this community opposition that

0:35:48.200 --> 0:35:51.279
<v Speaker 3>we're seeing looks like. The third one that will you

0:35:51.320 --> 0:35:53.719
<v Speaker 3>know come out soon, looks at the climate impacts of

0:35:53.800 --> 0:35:56.080
<v Speaker 3>generative AI and the way that generative AI is helping

0:35:56.120 --> 0:35:59.320
<v Speaker 3>to fuel this further construction of hyper scale data centers.

0:35:59.719 --> 0:36:02.640
<v Speaker 3>And the fourth one looks into the broader impacts of

0:36:02.680 --> 0:36:04.680
<v Speaker 3>this whether we can think about a different way of

0:36:04.680 --> 0:36:09.000
<v Speaker 3>approaching this problem and these ideological you know issues and

0:36:09.080 --> 0:36:12.280
<v Speaker 3>predispositions and and you know things that these tach billionaires

0:36:12.320 --> 0:36:14.759
<v Speaker 3>are wound up with that they are trying to push

0:36:14.760 --> 0:36:16.880
<v Speaker 3>on the rest of the world, and how that relates

0:36:16.880 --> 0:36:19.399
<v Speaker 3>to this anti democratic politics that so many of them

0:36:19.680 --> 0:36:20.360
<v Speaker 3>are adopting.

0:36:21.640 --> 0:36:24.080
<v Speaker 2>Well, Paris, it's been such a pleasure avenue on Where

0:36:24.080 --> 0:36:24.840
<v Speaker 2>can people find you?

0:36:26.040 --> 0:36:28.200
<v Speaker 3>Absolutely, you know, they can find the podcast tech won't

0:36:28.239 --> 0:36:30.440
<v Speaker 3>save us on any podcast app where they like to listen.

0:36:30.680 --> 0:36:32.759
<v Speaker 3>I'm on you know, most of the social media, the

0:36:32.800 --> 0:36:34.440
<v Speaker 3>tech based ones at least where you can find me

0:36:34.600 --> 0:36:36.920
<v Speaker 3>at Paris marks Well.

0:36:36.760 --> 0:36:38.680
<v Speaker 2>Thank you so much for listening, Paris. Thank you for

0:36:38.760 --> 0:36:41.120
<v Speaker 2>joining You've been listening to Better Offline. I'm the most

0:36:41.120 --> 0:36:44.200
<v Speaker 2>punishment alive at Zitron. You'll now get exactly the same

0:36:44.239 --> 0:36:47.799
<v Speaker 2>message as this, but slightly different, and you'll get mad

0:36:47.840 --> 0:36:49.600
<v Speaker 2>at me, and you'll email me because it's too say

0:36:49.719 --> 0:37:00.239
<v Speaker 2>me anyway, you're gonna hear it now. Thank you for

0:37:00.320 --> 0:37:02.920
<v Speaker 2>listening to Better Offline. The editor and composer of the

0:37:02.920 --> 0:37:06.040
<v Speaker 2>Better Offline theme song is Matasowski. You can check out

0:37:06.040 --> 0:37:09.719
<v Speaker 2>more of his music and audio projects at Matasowski dot com.

0:37:09.880 --> 0:37:13.400
<v Speaker 2>M A T T O S O W s KI

0:37:13.600 --> 0:37:16.479
<v Speaker 2>dot com. You can email me at easy at better

0:37:16.520 --> 0:37:18.960
<v Speaker 2>offline dot com or visit better offline dot com to

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<v Speaker 2>so much for listening.

0:37:32.160 --> 0:37:34.840
<v Speaker 1>Better Offline is a production of cool Zone Media. For

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<v Speaker 1>more from cool Zone Media, visit our website cool Zonemedia

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