More OpenAI C-Suite Drama, Is Siri Seriously Broken?, Meta’s Elusive Next Hit
Channel: Alex Kantrowitz
Published at: 2026-04-10
YouTube video id: RIvuDPLQYUs
Source: https://www.youtube.com/watch?v=RIvuDPLQYUs
Top OpenAI executives are reportedly at odds over its spending in IPO plans. Apple keeps making plans for Siri and well, nothing to show for it yet. And can Meta find its next hit? That's coming up with MG Seagler from Spy Glass right after this. Welcome to Big Technology Podcast. It's the first Monday of the month and MG Seagler is here with us in his traditional spot to break down what's going on in the world of tech. We have a lot to talk about today, including more turnover at the top of OpenAI and what that means. We'll also talk a little bit about OpenAI and Anthropic seemingly headed toward the same product. Then we will return to a common theme in these discussions, Apple, and whether that company's plans for Siri will ever materialize. And then finally, why Meta seems not to be able to find its next hit. MG, great to see you. Welcome back to the show. >> Thanks, Alex. Super sunny here in London, so it's nice outside. Got Michigan Wolverines in the national championship game uh this week and so I'm glad we're recording this right now and not say tomorrow when I might be uh staying up till about 4 in the morning. >> Oh goodness. Well, it it's definitely going to be a busy week on a number of fronts and certainly the OpenAI team is going to have to figure out what's happening once again uh in the seauite because there's breaking news that we have coming uh you know basically within our our recording window here that um there is potentially some discontent between OpenAI CEO Sam Alman and CFO Sarah Frier. This is from the information. Sam Alman has committed OpenAI to spend 600 billion in the next 5 years and privately said he wants to go public as soon as the fourth quarter despite expectations his company will burn more than $200 billion before it starts generating cash. Behind behind the scenes, Sarah Frier, his chief financial officer, has voiced concerns that reflect the tensions and risks inherent in the CEO's extraordinarily ambitious plan. She told some colleagues earlier this year that she didn't believe the company would be ready to go public in 2026 because of the procedural and organizational work needed and the risks from its spending commitments. She also said she wasn't sure whether OpenAI would near need to pour so much money into obtaining AI servers in the coming years or whether its revenue growth which has been slowing would support the commitment. And seemingly as a result, Alman has excluded her from some conversations related to the company's financial plans. Now, OpenAI and uh has a state OpenAI has a statement between Alman and Frier saying everything is hunky dory. Uh but this does seem like yet more drama at the top of OpenAI. On one hand, I would expect this type of disagreement between any CFO who's done any sort of financial job and uh OpenAI with its like unbelievably ambitious plans that don't really fit any model previously. So I can't tell whether or not this is like a big deal and another problem within the company or whether basically uh this is just kind of business as usual for company growing at an unprecedented pace that's going to deal with some you know typical tension at that at that you know juncture uh where the finance and the product strategy ma meet. What do you think MG? So yeah, my first um initial thought, same as what you just said, it was like, "Oh my god, I can't believe a CEO and a CFO are at odds. What are what are the odds of that?" Like that happens in every company, of course, because obviously the CFO often has to be the bad cop telling, you know, slowing down spend or or sort of putting a a dose of reality into uh you know, any sort of uh future plans. But at OpenAI, not a normal company, famously, things are always sort of to the extreme. And I think this one is obviously unique in the case that we're talking about the IPO. Um, you know, this had been rumored, of course, dating back to last year that that basically OpenAI and of course Anthropic are sort of in uh starting to put the wheels in motion at least to go to go public potentially this year. I actually predicted as one of my year-end predictions, I predicted that neither Open AI nor uh Anthropic will go public in 2026. Uh that was looking fairly bad. I would say a few weeks ago like it like it was going to happen. But, you know, there's reports like this now coming out that are not too surprising. Again, it's the CFO. Of course, she's probably going to be, you know, um, if anyone putting the brakes on a little bit more than sort of others at the company, but, you know, the CFO is obviously vital to a company going public and and being instrumental in that raise. And Sarah Frier in particular, who's been involved with public companies and and on the board of companies and knows what to do here. Um, but again, I just think when I was, you know, when all these these rumors have come out about OpenAI and Anthropic potentially going out, like there's so many wild cards still at play over the next even, you know, n 6, seven, 8, nine months macro-wise, as we've talked about before, like where anything could derail like an IPO from happening. Um, but I do think, you know, now that SpaceX is for formally, you know, put the wheels in motion to go out and it sounds like, you know, they're angling for June, uh, for maybe for Elon Musk's birthday. Um, and, uh, you know, that puts a little bit more pressure of course given his position with OpenAI is technically a co-founder, but now, you know, at odds obviously with the company and with Sam Alman in particular. Um, you know, that adds another layer to this. But it does feel like that maybe Sarah Fryer is looking at sort of the overall picture and looking at these leaked, you know, what these leak financials obviously they have they have even better insight into what the actual numbers are and just looking at the market and being like it's unclear what would happen if open AI went public. You'd think like, oh, it's an AI company. There's so much buzz like everyone. But again, SpaceX is already going to be out there touting the AI angle, right? Elon's going to play up the data centers in space and XAI and all of that. So, we're going to have sort of some of the um some of the wind taken out of the AI, you know, hype sales uh in the public market already. And then if they go if OpenAI goes out and you see just this massive massive burn, how are public markets going to react to that? It's it's sort of unknown, but I think like she might be saying, look, we're in the midst of changing a lot about the business right now. you know, famously we're we're putting a pause on on these side quests and at the same time sort of maybe, you know, pivoting to sort of focus more on what historically has been anthropic strength in in enterprise and obviously with with what's going on with co cloud code and codeex and so we don't have like a full vision into what like the next year is going to look like even financially. >> Yeah. I mean any CFO you know no matter who it is sitting in this company would probably be having a heart attack because the belief within OpenAI is that this technology is moving on an exponential and it may well be but as a CFO you don't you're not really able to think in those exponentials. You have to think of like am I going to is this company going to go bankrupt? like are we investing so much that we're going to end up uh you know sort of not being able to f meet our commitments and we've already seen openi pull out of a few commitments recently this is a quote it's kind of an interesting quote uh in the in this information story prior has a hard job since said someone who works closely with her and Alman she's working for a founder with big ambitions who wants to push the envelope as hard as he can on spend I don't know that to me seems like a nonbackground quote from a comm's person most likely. Um, but then there's an let me just say there's one interesting thing here though which I almost overlooked. Uh, and that is that in the at the beginning of this report they they I'll read it again. Briar said she wasn't sure whether OpenAI would need to pour so much money into obtaining AI servers in the coming years or whether its revenue growth which has been slowing would support the commitments. Uh, revenue growth has been slowing. I haven't seen that reported previously. So, if the revenue growth is slowing, it's harder to believe you're on an exponential and maybe that's the source of all this. >> Yeah. I mean, it's hard to know exactly what they mean or, you know, what the wording exactly is there, right? Because, okay, you might say, yeah, the revenue growth is slowing relative to the speed at which it's been, you know, like it's the law of large numbers stuff, right? Like it's it's coming down, but it's still growing very fast. It's hard to parse exactly what they mean by that. But at the same time, even at the high level, like if you're if you already know that sort of things are are, you know, slowing down a bit, um, and you're again angling to take this company into the public markets, like you've really got to lock down the narrative in terms of like what both growth is going to look like going forward and sort of what the key drivers are going to be. And again, the company itself is in the midst of this like product pivot and and sort of business model pivot in a way. And so it's it's unclear that they know exactly what what the growth picture is going to look like over the next year. And so if I'm Sarah Frier, I'm probably saying like, "Hey, we just raised this $122 billion round. Um, you know, by far and away the largest round ever raised, by far and away larger than any IPO, um, you know, including SpaceX upcoming rumored IPO, you know, would would target a mere 70 or 80 billion, right? and Open AAI is raised more than that in the um in a private round. And so if I'm Sarah Fryer say, well, look, we just got this done. Um this this buys us X amount of runway. We don't know exactly what that is, but it's not indefinite um given these these burn numbers. And you know, it just sort of slowed things down a little bit. Let's see how uh all the codecs work that we're putting in this new super app, you know, that we're working on. Let's see, you know, give this some months to to play out so we have a better picture of what our actual financial picture will look like before sort of we start the wheels in motion. But again, Sam Alman and maybe others within the company are probably looking at this, you know, overall picture and looking at not only SpaceX, but again, Anthropic is is probably the main concern here because if Anthropic were to go public before OpenAI does and has a sort of is able to b paint paint that better picture in terms of profitability, um that's going to be even more problematic for Open AI. Um, and so I get sort of the, you know, the two sides here, the the push and pull as it were, but, um, again, it seems very risky for them to try to go out this year, regardless of all the macro stuff going on. >> Yeah. And you're going to really need your CEO and CFO to be in sync if you're going to do it. Uh, and this is again the reporting from the information. In recent months, Altman left Frier out of a conversation about server spending with leaders at one of OpenAI's top investors. Her absence was notable noticeable and awkward given the previous conversation on the same topic included her. A different person who also attended who attended a senior level meeting at OpenAI with Alman earlier this year said it was unusual that Frier was not invited. Also, >> um this is from the information. And it's an in an unusual us in an unusual move for a large company where CFOs almost always answered directly the CFO to the CFO sorry to the CEO Frier stopped reporting directly to Altman in August last year and instead began reporting to Fiji Simo who had joined as head of OpenAI's applications business who as we know after uh last Friday's news Fiji is now on medical leave. So leaving Frier where exactly? I I mean there's there's so much in just what you said right there. Um so G sort of going backwards when the news came out that Fiji Simma was joining. I did think it was odd at the time even that yeah um all of these reports were moving over to her. Um you know she had the CEO title but it's not the CEO of the company, right? It's it was at the time CEO of applications and now they've changed it to CEO of AGI something or another. I'm not 100% sure what it is right now. >> Deployment. Yes. AI >> AGI deployment. uh totally normal uh what whatever that means. And and so um so it seemed a little weird at the time that uh yeah, Sarah Frier, the CFO, was was sort of moving in that. Now they would play it as like look, we just needed to free up Sam's time. He needs to do fundraising, though obviously finance is pretty important with fundraising. You'd think like again, they might want to be, you know, perfectly in sync and and in line with one another um talking through that. But um that's sort of why I've always uh sort of had in the back of my head that I would not be shocked if Fiji Simo is eventually sort of overall CEO and uh they just sort of have Sam Alman there because he's vital still obviously from a fundraiser perspective from sort of these higher level uh missionoriented goals. But um you know if and when Vigimo uh you know is is in a place with her health where you know she can be sort of uh more instrumental on the day-to-day obviously you know every everyone hopes that that she gets better and and uh she's able to to come back quickly from this leave of absence. um you know you can see a world in which um she already has all these people who normally report to a CEO reporting to her as the sort of sub CEO and so we'll see where that path goes down but yes the the sort of fracture um in this report uh between Sam and and Sarah Frier seems like the big element of it obviously that's that's very damning if you have uh financial meetings and the CFO isn't involved and you're specifically not including the CFO um what does that suggest Now, it might suggest that who knows, Sam Alman is is saying like, "Look, I I'm trying to come up with all these new methods of financing as he's talked about in the past and and maybe I just need someone to brainstorm with that's not necessarily our CFO because of course she'll say no or she'll, you know, lead us down a more traditional path and I really need to think outside the box." I'm trying to come up with some uh way in which, you know, you could say like, "Yeah, the CFO doesn't need to be in this very important financial meeting uh that she's normally involved in." But the reality is like it might be a bad sign. Um or you know there might be something else going on but it doesn't look good regardless uh optically uh you know from the outside. And of course the the company's going to say everything is hunky dory just like they historically has have always said with Microsoft and and you know everything else like you know nothing to see here. Um but there's always something to see with OpenAI as we've learned. >> Absolutely. And it's also interesting that that meeting leaked like who leaked it? It probably wasn't OpenAI. It seems like that was leaked by the investors. Maybe someone who wasn't happy with how the latest $122 billion funding round went down. I don't know. I mean, obviously, this is all just speculation, but that is an interesting wrinkle as well. A top investor leaking this stuff is, >> by the way, the entire the entire um press strategy around the $122 billion round was weird, too. It's like, look, I get that they had, you know, it's again, we've t, as we just mentioned, it's like a record raise. It's an incredible number, but they also had just announced the $110 billion raise, right? And now, and then they felt the need to do a whole another cycle with Sarah Frier going out there and talking to folks. Um, it sort of felt very it felt like the most defensive way to uh to announce the biggest fund raise in history. Um, you know, obviously they're under attack on a few fronts. You know, we talked about anthropic and and everything else going on. Google and and etc etc. But still like that whole cycle was just weird. Yeah. It's an up it's an you know an upgrade of 12 more billion dollars coming in which again is incredible. That's bigger than almost every fund raise ever you know not done by open AI. That in and of itself the delta between those two numbers but still it was like you just announced the 110 now you're announcing the 122 and like you're getting you know two bytes of of the apple out of these things. And um I don't I don't know there there's weird weird weird optics around this. if you just take a step back around a lot going on in OpenAI. >> Well, MG TBPN fixes this. You know that. >> Yeah, we haven't even gotten into that. I mean, uh yeah. Um but that like yes, there's there's so many weird things going on at the moment. >> One last thing about about the revenue side. Um there's this chart in this in the information story and um for those of you in audio, I'll just kind of narrate it a little bit. uh it looks at OpenAI versus Anthropic revenue and you could sort of see why they'd want to go public before uh before Anthropic because late last year Anthropic was doing looks like about uh $10 billion in annualized revenue and OpenAI was over 20 billion but now Anthropic has closed that. They're at 19 billion in annualized revenue while OpenAI for the latest report has 25 billion. So if things continue at this rate, does anthropics surpass OpenAI and revenue and what does that do to the IPO story? >> I think I actually asked Claude to do that extrapolation. I'm trying to remember exactly a few weeks ago and it did have them crossing. It's I think at some point next year if if memories serves um and you know it's obviously a moving target quite literally but um but even that speaks to exactly like why OpenAI is doing this this sort of product and in a way business model pivot because of those very numbers right they see them too like they see that anthropic is gaining steam and and we you know we talk a lot about like yeah claude is is getting consumer usage which sort of they hadn't had historically or hadn't had a strong point there historically And that's that's big. But the key thing is yeah this cloud code usage driving these these these sort of enterprises to sign up for uh for anthropic versus using open AI and how that is closing that gap as as you're talking about. And so regardless of that being bad from a public company you know narrative when you're trying to go public it's bad for the company overall because that's entirely why they're they're pivoting it would seem right. That's why they're doing everything and and killing off these side quests and killing off Sora and and just trying to focus because they see this real threat from what had historically been their much smaller competitor, >> right? And so let's let's go to that because that also plays into some of this executive turnover here. Uh let me read from Spy Glass uh about that something that you wrote about OpenAI's odyssey. He said, "While OpenAI was doing a a million things to expand to any and all potential markets, Anthropic was focused on their core market. The game has changed and OpenAI needs to change with it. Good thing they have that second CEO, Fiji Simo, with a range of experience at dynamic companies. It's hard to imagine that Altman could instill the discipline needed here. Is he really going to be able to tell Johnny IV, no? No, he's not. But it's fairly easy to see how Simo could. This may not be exactly why she was brought in and she'd clearly live to focus on health and other initiatives, but here she is and now she's on leave. >> Here she was. Yeah. Unfortunately. But um but yeah, I mean that is the sort of crux of everything going on right now um within OpenAI and and just looking again at at Anthropic and what they end up doing here. It feels like it's a full-on sprint now to get this quote unquote super app, you know, in place. Bring in all the the elements of of Open AI's and and CatchBT in particular, their strength and sort of see if they can use that strength with the big consumer installed base and mixed with the sort of all the work they've been doing on codecs and then whatever they're trying to do with Atlas, the browser. It sounds like that's going to be a piece of it as well. um you know bring this in and can they use that to sort of cut off the momentum that that Anthropic has has garnered over these past several months and you know that's that's really what the sprint is is all about. But again at the same time I go back to it's not just that they're sort of doing all of these um you know this this focus. It's also that they're this is a different um sort of muscle than they've needed to do, you know, sort of adhered to to in the past where again they're not selling directly to consumers. They're talking about selling into enterprise and it by all accounts they've been doing a good job. It seems like it's a fast growing business codeex for them, but it's still not nearly, you know, as big as as cloud code is. and they've got cursor out there and they've got you know and and myriad other um you know wouldbe competitors and so uh they like these next few months are going to be even more fascinating than they always are for OpenAI. The fact that um you know these past few years have been this has been arguably the most interesting company in the world to watch and now these past these next few months seem like they're going to be absolutely vital to watch. MG let me ask you is this wise the fact that OpenAI is going to build this super app that will have uh computer use or browser use chat GPT and codeex all together and Anthropic also has their own version of this super app which is you know claude and co-work and uh claude code all together um do you think that this is the right use case to be running after basically this um AI code jockey that can just basically go do everything for you even if you're not technical. >> I mean, I I go back and forth a little bit on this and as I think the companies do, right? It's like the famous uh bundling and unbundling quote, right? The Jim Jim Barksdale back in the day. It's just like companies always do this from Meta. Meta famously has done this multiple times now, right? where they they have all these products inside of back in the day Facebook and then they start to unbundle them into their own sort of disperate products and then later they've realized like oh actually we should bring them all back in together and so companies just bundle and unbundle and open AI again is just doing it a little bit faster it feels like than than sort of historically has been the case. Do I think it's a good strategy? Um, I think it's it's probably the right thing to do right now for them because again, they have this massive user base with ChatCBT. Um, they have what they feel like is a good competitive product in Codeex. if they're able to bring the two of them together, um I think that it makes sense in a world if you truly believe that codeex is not just going to be coding um you know for developers. If you believe it's going to be the future of sort of agentic software um that it's going to be meant for for consumers as well as as enterprise and everything sort of allin-one uh then I think it makes sense to do that. Um, and I think that, you know, Claude right now sort of already has that baked in, right? Like they're all part of the sort of the same uh at least Mac app payload right now. Um, I think there's other sort of variables at play with regard to mobile like how you make this all work on mobile and and what that might look like. But at least for now, I think it probably makes sense and I think it's sound strategy to do it. There is a risk though obviously that that both like your app just becomes this bloated mess of you know Microsoft Office and you've got drop downs and you've got drop downs of drop downs and and and uh chatbt has had this problem in the past right with the model picker and they had to simplify things and so when you're bringing in two products together and potentially three as we mentioned with with Atlas in the in the mix as well like does it just become the sort of thing that that consumers all of a sudden don't like because it's it's just like this this uh Frankenstein of a product Frankenstein's monster of a product. Um, and so there's there's risk to it. But again, I think that their strategy is to basically leverage that chatbt massive user base in order to again get out ahead or try to stop the the growth of anthropic that they're seeing, >> right? And it is interesting because there used to be like OpenAI was going after consumer, anthropic was going after enterprise. Now they're going after the same thing. And it really does take uh the experience to a different level, right? goes from AI being a chatbot to AI being this like personalized agent for you that can help you with work or your personal life. And so I guess what I'm asking is do you believe in that vision? Like do you think that is appealing enough to pivot the entire company uh toward and if it is I mean you're basically going to see OpenAI versus anthropic head-to-head. So who do you think wins? So, first I do think that it is again I think it's directionally the right bet. I think we've seen enough now of the early signs. Um, and I think it was frankly I'm not sure how much it was claude code um that drove this decision as much as it's cloud co-work right the the offshoot that sort of goes after the more again computer use aentic use cases that are more meant for regular day everyday usage of of quote unquote regular people not just uh developers coding um where OpenAI must have looked at that mixed with what's been going on with Open Claw um and just been like look we need to be the one go-to shop for everyone to do this. We already have ChateBT which has sort of become the Kleenex of uh you know the ubiquitous brand within AI and we have a risk of losing that if we're not there with these sort of agentic coding um and agentic um services and again it feels like it's early even now like with all the momentum and all the hype around these things it still feels like it's too early for these things to really take off in a in a meaningful way on the mainstream. Um, but uh I think that you're seeing everyone sort of go after little pieces of it. Again, we talked about Open Claw. It felt like that was, you know, there's a movement behind that, but at the same time, it's sort of it's sort of too um obtuse, I think, for for sort of everyday regular people to wrap their heads around. Um Claude Code comes in and others perplexity and and even Microsoft and some others are now trying to make it more uh you know, regular user consumer friendly. um these these general ideas about yeah using agents um on your behalf on your computer and letting them like sort of roam free and sort of trying to yeah sequester them or or put them in their own little sandbox to make it a little bit safer so people aren't you know doing all the the bad things that you know you can go easily go down the path of and so uh you ask do I think that open AI or anthropic has a better shot of sort of doing This again, OpenAI with thanks to just Chat GBT has a huge huge advantage in terms of just installed user base and when they're shoving this new product, you know, this new super app in in everyone's face presumably in in the next couple of months. Um, they're going to have the opportunity to overtake certainly the momentum that Anthropic has. That said, Anthropic made the absolute right bet here, whereas OpenAI seemingly did not. um at least for where we stand right now. And everything they've done over the past few months has just been insanely impressive of how they've angled uh you know what seemed to be this this enterpriseoriented company and product towards um being able to do some things which may or may not be the future of AI at least in the the relative uh short term. >> Can I tell >> I gave you a non-answer but >> but uh yeah I mean >> a lot of it is TV. >> Yeah. Yeah. Yeah. I right now I would bet honestly on anthropic uh doing it first, doing it better. Um, but it really comes down to the timing of when OpenAI gets this super app out there and if the world is ready for sort of yeah all this this agentic workflows that come in and I still think it's early and so I think that they'll have some time to be able to sort of catch up to all the work that Anthropic's been doing which by the way just going back to the numbers for a second when I looked at yeah the the the published charts Wall Street Journal published those charts Um it it's sort of incredible that Anthropic is where they is where they are given the relatively much smaller spend on compute um versus open AAI right and like and that's still going to be the case from these projections going forward and it's not like you know in some cases of course you could argue um open AIS models are a little bit better but like by all accounts like cloud is near the top of most things most of the leaderboards um for most use cases and again they've done that without nearly the amount of spend uh it seems like from open >> but that's going to hurt Anthropic because it seems already like the demand for their services is outpacing what they were willing to invest in from a compute standpoint that's just the sense I get from seeing the developers react they just did this thing where they pulled back some of the cloud code from openclaw type instances and if you're it it is interesting because anthropic is like we are going to build with caution and open AI is like we're going build because we see the demand going this way, which is probably what's causing those issues with the CFO in the beginning. But if you get to the point where the demand is outstripping your ability to deliver the service and you're delivering the same service as Open AI, people are going to go to OpenAI. >> Yeah. And that and that's true. And we're seeing that right now, right? I think even even today um sort of anthropic had had a bit of downtime. And I think that they're they're probably just getting stretched in, you know, in ways that are very unnatural to them. And again before when we were talking about when these two companies were going down separate paths like that was basically yeah I wrote about that angle a little bit like the two two roads diverged um because it did did feel like basically Anthropic was totally fine with letting openai take on that capex spend that insane capex spend while they sort of yeah just sort of focused on their their meat and potatoes and and what they needed and and sort of they were just going to spend for what they needed. But yes, to your point, the flip side of that is that now OpenAI may be in a the the relatively better position from a from a pure um capacity standpoint, right? But I, you know, again, I I'm sort of talking more about like the way that they've been able to not spend as much and still do the model training um you know, is has been insanely impressive. Yeah. Without a doubt. Yeah, >> but you're right like yeah, if if capacity ends up mattering far more, what is what is Anthropic's story there? Because again, this is a company also trying to go public. And if they all of a sudden realize like uh we are badly badly server constrained. We need to start cutting deals left and right with all of the Neoclouds, with all of the big tech partners. Um the the reality is like just everyone's constrained right now. So how are they going to be able to do that? By the way, every time that does happen, like OpenAI had this issue at the end of last year where the demand outstrip their ability to deliver to the compute. They they did go out and they made those deals, but you're kind of over a barrel then and your margin goes down because you're paying so much for the data centers. >> Yes. And that was the story of sort of the end of last year and I think it's mentioned in one of those stories today, right? Like their margins are uh not going the wrong way. they've been going the wrong way and and that's it's largely sounds like it's just the um under uh underappreciation for how uh inference costs would would sort of go through the roof and that's yeah again that's demand and utilization of these things. >> Can I share like one perspective of the way I think this will go? So, you know how like the these GPT5 series models, they'll give you an answer. And I think they've gotten a little bit better at this, but like basically every question you've had, they've tried to do something useful for you. So, they've been like, "Let me build you a PDF of that or give you a five-step plan and I'll make that an image or, you know, why don't I take that, you know, uh, idea that you had for a business and then flesh it out and delivered to you in a dock." Um I think as all this stuff merges that will end up being either a let me build you an app that will be able to you know sort of handle some of these things that you want to do like for instance let's just take the f fitness example you know okay you have some you're key coming to back to me with these fitness ideas I think I can build you an app that will sort of you know help you accomplish those goals or um even take it a step further let's say you're asking I'm just going to use an example from my world let's say you're asking it for help about like how to break a video into chapters. And this is something I spoke with Greg Brockman about last week. You know, instead of just taking the transcript and breaking it into chapters, this thing will now want to go into Adobe Premiere and start the edit for you. It's going to just take that one step further cuz it knows what you're trying to do. It knows your interest. And having the ability to code and go out and get stuff done, it can become proactive about suggesting these things and then do more than just give you that PDF or the business plan. >> That's interesting. when you were talking about that, my mind goes to the, you know, the um if teaching a man to fish, uh, you know, idea and like basically AI is saying like, we know what you're trying to do, so we're just going to go ahead and do that so you can do this and you don't have to keep coming back over here. Um, and you know, doing it step by step and and slowly. One other thing that that joged in in my head while hearing you talk through that, I do wonder if if there's a way um and this is sort of delicate given privacy and whatnot, but like you think about how back in the day when when YouTube and and Netflix and and um and just the sort of other services along those lines had to scale um and and they sort of realized like rather than um you know sort of doing the same thing over and over again, they were able to sort of uh save up uh some of the content that they knew would be sort of pulled by um was going to be asked for by multiple people and instead they would just serve they've had one version of that and then they would distribute it out right to whoever asked for it like is there a way in which AI for some of these um you know for some of these ideas and queries um that are just getting asked over and over again and maybe they're already doing this to some degree um but they can stop sort of trying to do everything on the fly and instead sort of go back to their own sort of broader memory of of things that have been asked in the past and sort of reference that up just as a way for like a you know they would never frame it this way but it's like a good cost-saving mechanism right like when you don't have to do the same sort of um queries over or sorry you don't have to run basically the models and do the inference over and over again because you already have you know a corpus of data that people that have asked for this >> I mean considering that I would imagine the vast majority of users have the default uh toggle on to allow the AIs to train on my conversations. >> I mean, basically, you know, wittingly or not, most of us are giving these things permission to do this. Exactly what you said. >> Yeah, we'll see. We'll see. >> Uh yeah, it's going to get like like you said, I agree with you. It's going to get very interesting very quickly, especially over the next few months as we see this all play out. you know, IPO anomalous standing, although that will add a new wrinkle to it and we'll be able to see even more data on the revenue numbers. >> Yeah. And I guess so if so, as talked about, SpaceX has has confidentially filed. Sounds like they're targeting June. So if OpenAI and Anthropic really want to go out and they're both said they're targeting Q4, at least that's those are the reports. They haven't said that, but those are the, you know, the internal reports say that, you know, we're looking at the end of, you know, summer, early fall when they would have to sort of file and and um so those are the targets that we're going to be looking for and seeing what how their businesses look at that point. >> Okay. I was going to say they should both wait, but they won't. But do you think they should wait? Maybe they should just go out now. >> Um >> I just raise get out there, raise that money. I mean, >> well, how That is the >> that is the unstated thing here which is that we can go back and forth about whether they should or not but the reality is like given these numbers OpenAI is going to need to go public like they need the capital and Anthropic as well like they basically have tapped into all of the possible uh you know private uh uh capital. I'm sure there's some other things out there. There will be other little like strategic things that come in and I say little I mean billions of dollars of course. Do you think the Gulf money is is still in play given what's going on in Iran right now? >> That's a good question and actually um >> because I thought that they were the next one, the final boss, then you IPO, but we haven't heard that mention. >> Have some of it in there, right? MGX ones. >> Um so there is already quite a bit of money in there, but yeah, I mean Sam Alman and and and Dario have been spending time over there for reasons, right? They're establishing these relationships. So yes, that would be sort of the the one final thing, but as you noted, given all the turmoil in the region right now, it's a little bit tricky. But at the same time, there's other reports like uh there was headlines about today just um about the debt that uh yeah, the the Mid East uh wealth funds are are putting into the Warner Brothers deal, which we previously talked about, right, for Paramount and Warner Brothers. And so they're still apparently active, you know, doing that. And so it seems like they're still open for business. But still, at the end of the day, at some point, OpenAI and Anthropic are going to have to go public in order to just access the amount the sheer amount of capital. And not meaning in one big slug because again, they're already raising uh rounds that are bigger than any IPO, but it's just like all different sort of instruments that you have access to when you have, you know, when you're a fully liquid public company. Um and the different mechanisms you can use. Um because remember again like um OpenAI in particular has had a really hard time and this was in some of the reporting today as well like with regard to trying to build their own data centers because they just they don't have profits like what how are they you typically do that with debt and they're having a hell of a time raising debt because of the financials of the company. And so, you know, if and when they go public, while they might not be profitable for some time, at the very least, they'll have they'll have more avenues um and more levers to pull in order to uh to put some of those wheels in motion. >> All right, let's let's go to a break because we have plenty more to talk about, including what's going on with Siri and then the latest that we have on Meta's attempt to diversify its business uh beyond advertising. So, let's do that right after this. And we're back here on Big Technology Podcast with MG Seagler of Spy Glass. You can find Spyglass at spyglass.org. One of my mustreads. Definitely recommend you go check it out and sign up. All right, MG. So, um you know, I kind of titled this section is seriously still broken. Um because it does seem like we keep getting more and more um big plans from Apple about what Siri can be. Uh but yes, here we are in April 2026 nearly it's it's going to be I mean couple months away from 4 years after Chad JPT has launched and the thing is is still terrible. So um let's just talk about the latest and then we can kind of riff on on what the vision year is and whether they'll be able to accomplish it. Um you highlighted some reporting from Mark German at Bloomberg that uh where where German said that Apple is testing a dedicated Siri app for the iPhone. The app's main interface will display prior conversations in either a list or a grid of rounded rectangles with text previews. Users can pin favorite chats, save older conversations, search across interactions, and start new chats. Uh the conversation view resembles a thread in Apple's messages app. You also sorry, German also highlighted that one new design uh in testing uh places for Siri is at the top of the screen within the dynamic island. Uh there are also some reports that it's going to use the action button on the phone. So it is interesting. It seems like Apple is basically kind of warming to the idea that it's going to bake a chatbot app or Siri the chatbot app built on top of Google uh directly into the operating system whether that's above the dynamic island in its own app uh using an action button or a combination of all the above. Um, but yet again, you know, Siri is not really ready to do that. So, what do you think this is all about? What do you think this means? Where do you think it's going? And do you think Apple is capable of pulling it off? >> I think this is a good sign. Um, the fact that they're going to do a standalone app, you know, per German's reporting, I actually had written about this last year that it seemed wild to me that they weren't going to do it, right? because the previous reporting had said that Siri was going to sort of remain as it has been over the past 15 years where it's sort of in the background and you invoke it um by either saying you know hey so and so which I don't want to do cuz I'll trigger all of my devices right now or um or using yeah some sort of software or button or whatnot um but now if they have an app it felt like they needed to do that because that is basically the the standard thanks to chat GBT that everyone is is used to now like you go is you say like, "Oh, I'm going to use AI to do this." And you either um you know, at at the very least you're you're loading up then a website to do it, but on a phone you're definitely loading an app. You're not talking to Siri in the background. And so it felt like this was the type of thing that historically Apple would learn the hard way, meaning like they'd roll it out, they wouldn't have the app, people would be confused and not understand like where Siri's app is, and then they would eventually launch the app. But instead, it's it feels like they're getting ahead of it by doing that and sort of recognizing like this is the reality of the market. Even though they've historically said they've historically by many reports now um you know in the past have disparaged the idea of a of a chatbot and an app right for for those things. They thought that AI would be some bigger more grandiose thing where it's again running in the background and a part of every app and doesn't need to be its own standalone thing. But that's not the reality of of the market right now. The reality is like people are going to want this chat app and they're going to want a repository to see what they've asked before and they had no way to do that without building an app. And so I think it's a good sign. Um, you know, yes, everything continues to be delayed, but it's obvious now that they're just waiting for WWDC coming up. They announced the dates of it coming up next June, which will be the two-year anniversary of when they last announced, you know, everything that was coming before famously, infamously having to pull back um all the things that that they could just couldn't um ship on time. And so I I'm getting more optimistic as time is going on that I think that they're going to do it right this time that they have obviously the the deal in place with Google to use Gemini and Gemini is going to underpin, you know, the the um Siri models and now the new reports that they're going to allow other third parties potentially to come in there including obviously they've already had chat GBT as a part of it. I think it's way too buried for when it's been right now. It's way too buried within Siri. But if they make it more of a first class citizen and along with Claude if you wanted Claude, if you wanted Perplexity, if you wanted any number of other sort of uh apps, they'll just allow them to plug right into it on top of their baseline Siri powered by Gemini. I think that's the right approach and I'm getting optimistic. I know this sounds foolish given the 15 years, given we've been fooled every single year for those 15 years, but I think that they're starting to sort of come into focus on what this should look like for them. >> Interestingly, their perspective of yeah, it's got to be a chatbot app kind of is now changing places with the others, which are like it should be an AI that is sort of magical and baked into all programming. >> Hey, it's baby steps. This is Apple. like they're always going to be, you know, late to the game and and that's the real risk with AI, right? Even even at a bigger level like the AI moves so fast relative to other technology and Apple historically has come into uh markets later than, you know, than competitors and sort of, you know, quote unquote done it right, done it correctly. And so that might be the case here where they make the most beautiful, the best sort of AI chat app uh that anyone's ever done and and it makes the others sort of look um you know much worse, more childish or whatnot. And then everyone else though has moved on to these agentic uh full-on service suites of uh of AI and Apple then has to sort of go back to the drawing board and and try to hustle to come up with that as quickly as possible. >> Right. I mean it is interesting like Apple still hasn't gotten chatbot right and um opening eye at anthropic are already on to the next thing and you you sort of highlight this in your story you talk about the biggest issue or the bigger issue remains that by outsourcing the core work to Google Apple is might never be able to catch up from a pure technology standpoint and this encumbers the true what's next shift in hardware and I think this kind of points we've been having these like debates back and forth on the show for a little bit about whether or Apple was actually right and not making these big investments um in AI development and sort of what does it lose if it just implements like Google's technology into its products and doesn't have to do all that big R&D spend. But I think the answer really is that if you don't do the R&D spend, you're in a you're working in a technology world that's going to be passing you by and by the time you catch up on, you know, step one, the your competitors can be at step three or four and it's basically at their whims uh as to whether you're even able to participate in that game. That's the problem. >> Yeah. And and sort of so I think that that's all correct. And there's also the sort of the second order effect of that which is that look they may or may not be behind on on the product side and and with the models. But what if even just by not sort of competing in that space while it may make a lot of sense financially they run the real risk that they just never get the right DNA within the company and the right mentality to really be able to compete in in AI. And and if you believe that it's the future technology that sort of permeates everything, there's a real risk that they just don't have again that right that right mindset and they are constantly like as you note running a step behind andor you know they don't quite have all the right people in place to be able to execute on this. And as we just talked about like this is technology that's moving faster than any other technology that's come before it. And so it's not just being behind, it's that they will fall increasingly further and further and further behind. And I do think that that's a real risk. And it's also like it goes back to the notion that uh you know Apple um has long sort of uh adhered to which is that like you know if the whole mentality of if you want to uh uh you know prove yourself uh in computing you and and in hardware you've got to sorry in software you've got to make hardware. And it's like what if in order to prove yourself in this next phase of computing like you also have to sort of make your own AI like that's a part of it and Apple is sort of seeding that to Google right now and you'd hope like they have their own projects obviously that they've been working on internally. You'd hope that this is just a stop gap measure but at the same time what if they can never bridge that gap because they're just you know going uh and seeding that work right now. And this is almost the perfect setup for uh what we had planned to speak about next, which is should they acquire Anthropic? Now, it's been floated uh in the discourse, shall we say, that maybe Apple should try to acquire Anthropic, and you wrote about it a little bit over the past month. Um I we never really spoke about it too much in depth on the show just because it seemed like Daario just I couldn't imagine Daario selling that company to Tim Cook and being a subsidiary of Apple. And now also the finances might just be unworkable or Apple's a $3.8 trillion company and Anthropic is probably going to go public uh at a trillion. So, you know, maybe more than a fourth of Apple would have to go towards um buying Anthropic. But let's c let's throw that aside, throw that skepticism aside and just uh give you the floor here to talk about what an acquisition like this could look like. >> Yeah. And this was to be clear like more of a thought experiment. I I couched it, right? like that. I don't think this is going to happen, but I did think my jumping off point was the, you know, as we've talked about in previous episodes, the Anthropic and and DoD situation, right? Like that to me made a unique uh moment in time uh potential here, right? Where anthropic was was under attack from the government uh and still is. Uh and so would they um you know be potentially more amendable to doing a type of acquisition meaning getting acquired by one of the big tech companies in order to protect them and you know and ensure that they can continue to do what their mission is. And if you look around the landscape, like who's the only real of the big tech companies uh that sort of would fully uh buy into maybe that vision, like it does seem like Apple and Anthropic are the most aligned, which is sort of ironic because Apple's the one company that I think is not an investor now of the big tech companies in anthropic um because they're not an investor in any of them if they famously, you know, went down the path with OpenAI, but did end didn't end up doing it. And so, um, it does feel like there's there's some real natural alignments there. Now, would would Daria work there? Would, you know, would, you know, would he dare sell a company that's that's potentially going to go public at a trillion dollar valuation? Again, it's a unique moment in time given given the risk that they face right now. And on the flip side, for Apple, everything we just talked about, um, yeah, that's that's exactly it. It feels like they need to do something. there's a world in which they need to do something that's a true gamechange deal and it's not, you know, making these hundred million dollar purchases here and there, which they do from time to time of talents, and those are good. Um, and obviously Apple has has run that that game plan as well as anyone over the past couple of decades. But this would be more like, you know, I I hate to invoke the the idea of buying Next and bringing Steve Jobs on, which was a much smaller deal relative to what this would be, of course, but it's still that was a gamechange deal that really changed the DNA of the company, right? And this is this hypothetical theoretical deal would be along those lines in that I think it would be about much more than than bringing on a great product and and um you know a a great uh potential business. It would be about changing the DNA of the company and really getting them geared up for the next phase of of whatever the AI future is. And right now it's hard to see for everything we just talked about how they do that without some sort of real mentality shift. um and and something that totally changes the culture to do that. So that's my argument for it. >> I was going to say I couldn't really imagine Daario as a product manager at Apple, >> but then again, we know they've been looking for a successor to Tim Cook. >> He uh I don't know. He would be he would he would be the head of AI obviously. Uh you know, he'd be the G John G >> chief AI officer. >> Um but would he still be okay with that? I don't know. I mean, again, you would have Apple's unlimited resources. They would never have to worry about fundraising. Well, presumably, if they if they struck the right deal with Apple, they would never have to worry about that. Like, Apple has more profits that they could funnel into this. And um again, if you believe like Google's got Deep Mind, Microsoft had OpenAI, now they have their own, you know, version that they're working on internally, the my stuff, and and their own super intelligence stuff. Amazon's obviously working on their own internal super intelligence stuff um internally and so Apple can they really afford to just partner like yes literally they can afford it that's why it's like a great great deal in that they're not spending all the money on capex that all of their their rivals are but there's still a real risk of that and everyone points to like oh Apple's going to get the last laugh here but there's a real real longer term risk for the company by not going down this path. >> Totally agree. All right, before we go, we should definitely spend a couple minutes on Meta. Uh they just haven't been able to put together the next hit. Uh and we we can talk about Reality Labs. Um clearly whatever is happening on AI uh within that company. I mean maybe there's you know sometimes you can have delayed progress where you need a couple of years of research to put something together. They don't have a competitive LLM. And again it's the same problem as Apple. they're now, you know, not one but two generations behind what the cutting edge is. Uh, and so what what do you think the state of what do you think that says about where Meta is today? Where it say what it says about Zuckerberg, the fact that they are unable to come up with that next hit and certainly have not been able to diversify away from advertising. Yeah, I've swung around a little bit here because when they first sort of announced um the scale deal that sort of you know would was the effective end of the llama strategy and you know their new their new path going forward. Um, I wrote a post like just saying like, "Can Meta buy the future of AI?" And my thesis was no. That I felt like they were basically buying up mercenaries and it would require a team of true believers in the mold of sort of anthropic, I think, was the main example I used um to be able to to actually do this. And then, you know, all this stuff happened. A lot happened obviously in the subsequent months, but like certainly with um with Elon spinning up XAI and and how we got that data center up so quickly and basically it felt like maybe maybe you could just throw money at the problem, right? And and you could basically get up to speed quickly. Fast forward, you know, a couple months ago, there's new reporting that well actually it looks like XAI uh for all that money spent and the models by all accounts are are good, but it's not good enough. It doesn't matter, right? like what's what's the point? Like what's what's XAI doing? And and Meta, all that money spent, the billion spent and now they have to delay they delayed, you know, potentially their their new work and it seems like that work is definitely feels like it's being couched in the public comments about it. It's like, oh, it's it's going to be a a good first step, but it's not going to, you know, be competitive with uh with the Geminis of the world and the cutting edge models. Um, and so there there's also a world now it seems like in which all of that money, you could spend all the money in the world and you still can't catch up to what the leading edge is. um andor even being at the leading edge, it doesn't matter because the chatbts of the world and now Claude with Claude Code, they have the mind share advantage where they're they're just going to be locked into these cycles where they just keep improving and it's sort of the self-improvement stuff. um just makes them better and better faster and faster just like Google leveraged back in the day with search engine um where they were able to just out compete the Bings of the world and Yahoos of the world because again it just was self-fulfilling in a way and so it feels sort of like that we're into that and now Meta you know is yeah there's all these reports about these little new sub intelligence projects that they're spinning up and these new groups and all this other sort of stuff and and again the reports you know that they say on the record everything is great and and we're making progress and and yada yada, but like the the posts that you're sort of alluding to that I wrote about where they weren't, you know, they just they don't have a good track record over the past decade plus of launching new things obviously with the the metaverse uh being, you know, the prime example, but several other projects. They had a crypto project DM and and uh you know, they've had many many other things that just have gone nowhere. and and of course they had their Zuckerberg's big initiative of going after encryption and that was going to be the future of of social networking and that was going to be the future of the company and now they're pulling back on that um because again they don't get they don't seem to get traction unless they acquire something and we're in the tricky position where who were they going to acquire besides scale and that's a seems like you know maybe a problematic uh problematic deal that they did there. Yeah, I don't think that worked. And um you know, it's interesting because I was thinking back to like the old developer conferences that Meta used to hold and Zuckerberg put like a 10-year road map and I remember being in the audience in 2016 specifically and he was basically right on the road map that there was going to be some tech technology development and then AI was sort of at the end of the tunnel and here we are. Uh and yet they don't have they also like Apple don't have much to show for it. And not only that, um Super Intelligence Labs like has already seen some departures. We don't know what Alexander Wang is really doing in within the company. You know, from the chatter I've heard, you know, there's definitely been some disputes with him and uh and Meta Leadership about the pro, you know, the the path forward and what are you going to do to him? He just paid more, you know, billions of dollars to bring him and some of his team on board. And now, and this is again just according to reports, but the company might be staring down the barrel of a massive layoff that could be in route, you know, between now and the next time we speak. And you put it all together and you're just like, uh, you know, they got maybe a couple more shots at the AI getting this AI thing right. Other other than that, they they they look like um they look kind of like a potential Yahoo, right? Where like >> they they got advertising, right? and it's the one thing they do, right? And they're going to live off it for a while. But, you know, anything we know about Mark Zuckerberg is that that has effectively been his greatest nightmare. >> Yeah, that's uh that's an interesting analogy. I hadn't thought about that, but I could see why you draw that. Um the difference would be that Zuckerberg is there and while like Jerry Yang tried to come back as you'll recall to Yahoo and they almost sold to Microsoft for 40 some billion dollars uh back in the day with in Steve Balmer days. Um Zuckerberg has total control of the company right from the stock on down he is in control. And so it's it's a it's a strength and probably a weakness in ways right where like they do as he goes. So, so goes meta and so he leads them down the metaverse path and maybe he maybe he was weward in that, right? And maybe he he was distracted to your point of like they he had the road map for knowing AI was coming. So did Google by the way and Sundar's been talking about that for for a decade plus, right? The difference is Google actually executed upon it and Meta so far has not. Even though they brought in Yan Lun and even though you know they tried to buy DeepMind back in the day and sort of failed um at it and again that led to Yan Lun coming in potentially and and sort of they had the right pieces in place but they have not been able to sort of what for whatever reason zero in on it. And some of me part of me just wonders again going back to that post it's like they're good at they're great at acquisitions. They're one of the best companies ever at acquisitions, but when they're not making acquisitions, like they're not that great. Like they've been they've been good in sort of copying uh Snap and stuff like that, right? Even in a way, you could call that an acquisition, an acquisition of another idea. Here, they have not been able to uh both acquire, you know, potentially the the game-changing company that gets them into the AI race in a meaningful way andor clone, as they're obviously trying to do now, the game plan of of others. And so what changes that now Zuck and and everyone else at Meta would probably say it's it's the glasses, right? Like that they have a foothold in in the early uh part of of you know the next paradigm shift in terms of uh new devices like we'll see. I mean they're they're certainly successful right now but it's super small compared to a lot certainly compared to the iPhone and it still relies upon the iPhone and so like what else are they going to come out with? you know, uh, sounds like a wrist device, you know, they've been working on and several other, I'm sure, skunk work projects that they have right now. And that's going to be the hope for it because otherwise they're just competing again with all of these sort of already more established players in AI. And so, they need to come up with something that actually changes the game and they're not just chasing and they're actually leading. And again, the glasses are probably the best uh place they have right now, but we'll see what happens when Google and Apple and everyone else comes out with their competing products. Like that's going to be fascinating because beyond even the technology angle of it, like remember Apple has a retail footprint all around the world, they're going to be able to move any sort of product that they put out there and if it's fairly priced, if it's not the vision pro pricing strategy, um they're going to have an advantage over Meta in a number of ways. And it really becomes uh you know trying sort of a foot race as to like what's the better strategy in terms of uh you know getting these new fangled devices out there. >> I know we're over time but I just want to end on this. Sebastian Malib has this book about Demisabus, the head of uh Google Deep Mind coming out and there was this excerpt published in the Wall Street Journal and it just made me you made me think about it when you talked about how good Meta has been at buying and about how Zuckerberg has sort of been all over the place in his bets and this anecdote um just brings it together perfectly. So Deisabis was on the west coast when he when DeepMind was still independent to have lunch with Larry Page from Google and Zuckerberg heard about it and invited him uh to dinner. This is from the excerpt. Arriving at Zuckerberg's Palo Alto home, Habis administered a subtle test on him. The two men discussed the potential of AI and Zuckerberg expressed appropriate excitement. But then as the dinner continued, Habis brought up other hot technologies. virtual reality, augmented reality, 3D printing. Zuckerberg sounded equally excited about all of them. That told me what I needed to know, what I needed to know. Haba said later, Facebook offered more money, but I wanted somebody who really understood why AI would be bigger than all those things. And then he sold to Google. >> O, that's that's painful. That is an expensive dinner in what he didn't get to spend on on potentially acquiring the future of his company. Uh and it of course hearkens exactly right to the future where by the reporting uh the founder of OpenClaw uh you know wanted Mark Zuckerberg wanted to bring him on board as well and and maybe offered more money as well and he went to OpenAI and and again history repeats itself. So yeah not a not a great look. >> Website is spyglass.org. MG Seagler of course is our guest first Monday of every month. MG great to see you. Thanks for coming back on. >> Thanks Alex. talk soon. >> All right, speak with you soon. Thank you everybody for listening and watching and we'll see you next time on Big Technology Podcast.