On Scott Adams. A man finds, to his astonishment, that he exists. After the elation of childhood wears off, he asks, who am I, why am I here, how does this work? These are hard questions, so after a brief struggle, he selects a readymade answer and goes about the motions of life. Scott Adams was not such a man. He was a live player, ever curious, intent on figuring out this simulation that he found himself in. From first principles, Scott unraveled, understood, and ultimately controlled his own reality. He hacked himself with affirmations, others with persuasion, the world with simultaneous sips. He explained people as moist robots, two movies happening on one screen, his world as Gods’ debris. He carved a personal mission to “be useful,” and made us all better writers, public speakers, and persuaders. He preached the footwear theory of motivation, the Adams Law of slow-moving disasters, the skill stack, systems over goals, and of course, the Dilbert Principle. Besides cartooning, philosophizing, and teaching, Scott rose to the occasion and displayed, “the one virtue that cannot be faked” - courage. Scott had the courage to speak honestly as he saw it - about Trump, about his nation, and about his time, even though it cost him friends, audience, money, and his ticket to polite society. Scott had true courage, the kind that makes you unpopular, the kind that is always and everywhere in short supply, At the end, as any hacker of reality, Scott covered all of his bases - he left as a Buddhist, a Christian, and a player in the Simulation. Scott, we didn’t get enough time with you, but you were a mentor and a marvel. You were useful and you were courageous. You were incompressible and indivisible. One of a kind, and generous with your drawing, writing, and speaking. Unlike your squealing critics in the chattering class, you will be read generations from now. On this earth there are many long-lived hells but no lasting heaven. Each heaven must be created and nurtured, ex-nihilo, from mind and from mud. Scott, you created a small heaven for us all, and to a larger heaven you go. A man finds, to his astonishment, that he no longer exists. He asks why, what it was for, and how will the new reality work? When the rest of us get there, we’ll find Scott, ever useful, ready to explain, having figured it all out. Notes: • First line paraphrasing Schopenhauer. • Courage quote via Taleb.

We are banning social media access for under 16s. These days kids must find their feet in a world where technology intrudes into every area of their life. I just can’t let that go on anymore. So we’re giving children their childhoods back.

#WATCH | On the Nobel laureate Abhijit Banerjee's statement that he does not have faith in Indian GDP numbers, India's Chief Economic Advisor (CEA), Dr V. Anantha Nageswaran, says, "... If I want the Indian economy to be bad and the statistics confirm it, then I am quiet. If the statistics don't confirm my belief or wish that the Indian economy is actually in a bad state, then the statistics are unreliable. I find this inconsistency difficult to accept." Watch the full podcast at: youtu.be/3g0VCR3KSlk?si

Stanford grads walk out as Google CEO Sundar Pichai takes the stage as commencement speaker. No mention of AI, unlike other uni speakers getting booed down this year. Story for @sfgate shortly

India doesn't need to lead the world in building the most advanced AI models. But it must lead in ensuring benefits of AI are widely shared. @rvenk and I have an op-ed in The @EconomicTimes economictimes.indiatimes.com…

Stop making loose comments. A foundational model needs 50/60b $ Huge hyper cloud capacity with hundreds of billion $

This is big: all access to Mythos and Fable AI models disabled for everyone outside America. First thoughts: 1. Technology is the ultimate weapon. National sovereignty, national security, all of it is now about technology. 2. Globalization is dead and Bharat must find her own way ahead. We must keep these two ideas in mind. What can our government do right now? Ensure that orgs in India embrace smaller models, both Indian and Chinese open source ones. With a bit of effort, we can make them work. Anyway, why pay money to people who don't even want to sell to you? We must deepen our R&D. Sarvam has been on it and we have been on it but remember that the latest models cost not only huge GPU budgets to train, the GPUs themselves are restricted. So we can't afford the scale of money (of the order of $100 billion to even get in the game!) and even if we could come up with the money, we can't get all the GPUs. I would not like to ask the government to fund tens of billions of dollars on this anyway - the money has far better uses. Zoho has been pursuing alternative R&D approaches that are far, far less expensive but by its nature cutting edge R&D takes time and we are patient. I am confident we will get there. Any remaining people in India who have delusions about globalization should wake up now.

The most basic way AI could blow up imo. I'm not saying it does but this is the most obvious way I can see it happening - Per seat subscriptions are massively subsidized. The flat fee was priced way below what heavy usage actually costs - For real business use you have to move to the API anyway. Data protections, work integrations and compliance officer approval - On the API you pay metered rates, and businesses are burning credits way faster than the per seat pricing ever led them to expect - This is everywhere right now. Internally for us, Codex users, Uber torching its entire 2026 AI budget in 4 months, the Microsoft comments. Just go try an API I shared more on this here: x.com/Shaughnessy119/status/… - And I don't think most businesses have the money to keep paying increasing API rates without a real change to how they operate (caps needed) - Because they have a cheap alternative. They can reach open source models through any aggregator (OpenRouter, Venice, Baseten, Together) and still get strong privacy. Venice private data centers, or E2EE/TEE serving GLM 5.1. More on open source inference provider raises here: x.com/Shaughnessy119/status/… - And the discount is enormous. DeepSeek V4 codes within a hair of Opus on SWE bench at roughly 1/30th the price, and the cheapest open models run closer to 1/100th - Chinese labs open source frontier grade models. The model is the single biggest cost an inference provider has, and they get it for free - This idea dies if China goes closed source. That is actually bullish web2 AI labs, because if everyone is closed you pay up for the best intelligence. China goes closed source if they are tired of giving away an asset and they want the revenue and data flow to train new models - Is this showing up in web2 AI lab revenue yet? No. Revenue is off the charts. Anthropic went from 9B to 47B run rate in five months - So go forward, what happens? - I think revenue slowly starts leaking to the open source inference providers (see Venice usage, OpenRouter's $113M raise, Baseten is raising at $11B or triple its valuation in three months, on revenue that went from $200M to $600M annualized in a single quarter) - It doesnt move overnight, but it caps the labs ability to raise prices, and margins are already deeply negative. OpenAI is reportedly running near negative 122% - With margins that bad there is no cash flow, so the labs are fully dependent on outside capital to buy GPUs, train models, and keep subsidizing usage (I.e. see Google tapping $80b equity sale, granted 30b for employee RSU taxes. Clearly they think Equity is overvalued or you wouldn't sell it) - The break comes when that capital stops. Pricing is capped so margins cant improve, and the moment investors lose conviction on payback, the whole flow reverses - Why would they lose conviction on payback? Back to the start - the inability to improve margins or get businesses to pay more - This is also limiting, if we start making new drugs with AI or create entirely new businesses, you better believe people will pay up to the max for AI usage