His company is already bigger than Warner Brothers. Warner Brothers!
The race to develop artificial general intelligence (AGI) has attracted massive investment despite uncertain timelines and feasibility. Ilya Sutskever, OpenAI‘s former chief scientist known for controversial statements about AI consciousness, has launched a new venture that’s drawing attention for its unusual business model.
The big picture: Safe Superintelligence, Sutskever’s new AI company, has achieved a $30 billion valuation without offering any products or clear technological differentiators.
- The company recently secured an additional $1 billion in funding from prominent investors including Andreessen Horowitz and Sequoia Capital
- Its valuation now exceeds established companies like Warner Bros, Nokia, and Dow Chemical
- The company explicitly states it will not release any products until it develops “safe superintelligence”
Unconventional business approach: Sutskever’s strategy deliberately avoids the traditional startup path of iterative product development and market competition.
- The company aims to remain “fully insulated from outside pressures” of product development and market competition
- Their website offers vague promises about approaching “safety and capabilities in tandem”
- No technical details or specific methodologies are provided to explain how they will achieve their goals
Investment context: The massive valuation comes amid growing skepticism about AGI timeline predictions and feasibility.
- The company’s valuation increased from $5 billion to $30 billion since its launch in June
- This rapid valuation growth coincides with broader industry hype about AGI, particularly from OpenAI’s Sam Altman
- Venture capitalists typically invest in pre-product companies, but backing a venture with such an indefinite timeline is unusual
Leadership background: Sutskever’s departure from OpenAI adds an intriguing dimension to the company’s trajectory.
- He left OpenAI last summer following a failed attempt to remove CEO Sam Altman
- Sutskever previously made headlines by suggesting that current neural networks might be “slightly conscious”
- His track record includes both significant technical achievements and controversial statements about AI capabilities
Market reality check: The extraordinary gap between current AI capabilities and true superintelligence raises questions about investor expectations.
- Many experts debate whether AGI is achievable at all, let alone within a commercially viable timeframe
- The company’s success depends on achieving breakthroughs that have eluded researchers for decades
- There is no clear consensus on what constitutes superintelligence or how to ensure its safety
Investment risks and implications: The unprecedented valuation and business model represent a significant gamble on future technological developments.
- Investors face potentially unlimited waiting periods with no interim products or revenue
- The lack of concrete technical explanations or methodologies increases investment risk
- The company’s approach challenges traditional venture capital metrics and timelines
Reality versus ambition: Safe Superintelligence’s ambitious goals and massive valuation reflect both the optimism and potential disconnect in current AI investment trends. While the company’s focus on safety is commendable, the absence of concrete technological foundations or interim milestones raises questions about whether this represents genuine innovation or simply effective fundraising in an overheated market.
Recent Stories
DOE fusion roadmap targets 2030s commercial deployment as AI drives $9B investment
The Department of Energy has released a new roadmap targeting commercial-scale fusion power deployment by the mid-2030s, though the plan lacks specific funding commitments and relies on scientific breakthroughs that have eluded researchers for decades. The strategy emphasizes public-private partnerships and positions AI as both a research tool and motivation for developing fusion energy to meet data centers' growing electricity demands. The big picture: The DOE's roadmap aims to "deliver the public infrastructure that supports the fusion private sector scale up in the 2030s," but acknowledges it cannot commit to specific funding levels and remains subject to Congressional appropriations. Why...
Oct 17, 2025Tying it all together: Credo’s purple cables power the $4B AI data center boom
Credo, a Silicon Valley semiconductor company specializing in data center cables and chips, has seen its stock price more than double this year to $143.61, following a 245% surge in 2024. The company's signature purple cables, which cost between $300-$500 each, have become essential infrastructure for AI data centers, positioning Credo to capitalize on the trillion-dollar AI infrastructure expansion as hyperscalers like Amazon, Microsoft, and Elon Musk's xAI rapidly build out massive computing facilities. What you should know: Credo's active electrical cables (AECs) are becoming indispensable for connecting the massive GPU clusters required for AI training and inference. The company...
Oct 17, 2025Vatican launches Latin American AI network for human development
The Vatican hosted a two-day conference bringing together 50 global experts to explore how artificial intelligence can advance peace, social justice, and human development. The event launched the Latin American AI Network for Integral Human Development and established principles for ethical AI governance that prioritize human dignity over technological advancement. What you should know: The Pontifical Academy of Social Sciences, the Vatican's research body for social issues, organized the "Digital Rerum Novarum" conference on October 16-17, combining academic research with practical AI applications. Participants included leading experts from MIT, Microsoft, Columbia University, the UN, and major European institutions. The conference...