Because no part of this statement is accurate. They’d like investors to believe it’s very rare but they have multiple strong competitors, most of whom have much better financials, and the entire sector is worried that the open models are going to effectively cap rates below what they need to pay off their massive investments. Lastly, they’re not universally must-have in software development which is one of the domains best suited for LLMs but most corporate work lacks similar correctness oracles and we’re already seeing major corporate customers reconsider the cost/benefit ratio.
None of that means they’re doomed but a lot of stars need to align for them to keep their valuation up. They don’t need to go out of business for investors to lose money buying in at the peak.
It’s pretty depressing to be honest. I don’t know how I could work in any of these military industry companies.
I think you're right that e.g. Anthropic wouldn't be on the block list, because: It's an IT company, and I suspect that even Palantir might make the cut. It is fairly annoying, because my pension fund won't invest in Rheinmetall, SAAB or Kongberg, which I think they should, but they will probably invest in Anthropic, OpenAI, and SpaceX, which I don't really like.
Also, when you buy into an index fund, you are not funding the companies that the index tracks. That’s a misunderstanding of how the markets and index funds work.
You'd sing a different song quite quickly once the threat stops being abstract as you don't get to free-ride on the security a defense industry provides.
They're valued like software companies, but they have terrible margins compared to software. Investors haven't figured out how to value these companies.
What difference with Microsoft, amazon and google? They all heavily support the military.
Edit: OK, no the same person.