The near future of AI Economics
The near absolute domination of Nvidia in AI hardware is not going away anytime soon. Despite efforts by major hardware companies and startups alike, supplanting Nvidia is just too costly. Even if a company is able to create better hardware and supply chains, it would still need to tackle the software compatibility challenge. Major AI frameworks like pyTorch and Tensorflow are all compatible with Nvidia, and little else. These are all open source, and although supported by major companies, like all open-source software their foundation is their communities. And communities can be notoriously hard shake. All this suggest that the price of Nvidia GPUs will keep increasing, fuelled by the rise of ever bigger LLMs.
So where does that leave us for the future of AI economics. Like anything valuable, if the current trend continues, GPU computation time will see the apparition of derivatives. More specifically, *futures* and *options* on GPU computing hours could be bought and sold.
The other coming trends are in energy trading, modern AI is extremely hungry for electricity, to the point of needing dedicated power-plants. If the current trends continue in AI, with major companies and countries building and investing into bigger and more power hungry datacenters, this could lead to a trend of significant disruptions in some parts of the energy sector. Again the markets for energy derivatives (*futures* and *options*) could be significantly affected. Finally, *bounds* markets and inflation are also poised for some disruption, as the building of the extremely expensive facilities necessary for AI is likely to result in more borrowing.
When it comes to AI: Nvidia GPUs and Electricity are king.
Link Below: google is buying nuclear power.
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The near future of AI Economics
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How Many Scorpions Do You Need To Make $100,000 Annually?
Starting a business in the specialized field of scorpion venom extraction can seem appealing because of the high prices that medical and research industries pay for this potent substance. However, making a lucrative income from milking scorpions is more complex than it might initially seem. I personally believe that understanding the numbers and logistics is essential before entering this unique venture.
Understanding Venom Value
Firstly, it’s important to acknowledge the market value of scorpion venom, which is among the most expensive liquids by volume. Depending on the species and the quality of the extraction, the venom can fetch anywhere from $8,000 to $12,000 per gram. The high cost is due to the venom’s use in medical research, including cancer treatment studies and antivenom production, making it highly sought after in specific scientific communities.
Practical Yields and Species Considerations
Not all scorpions are created equal when it comes to the value of their venom. Species like the Deathstalker (Leiurus quinquestriatus) are particularly coveted due to their potent venom, which is rich in compounds useful for medical research. However, even with a valuable species, the amount of venom each scorpion produces is minimal — typically around 0.5 to 2 milligrams per milking session, and you can safely milk them about twice a month.
The Math Behind the Venom
Let’s break down the numbers. To set a realistic income goal, suppose you aim to make $100,000 annually from venom sales. Assuming you can sell the venom at an average price of $10,000 per gram, you would need to produce 10 grams of venom each year. Since 1 gram equals 1,000 milligrams, you would need a total of 10,000 milligrams of venom annually.
Each scorpion might give you 1 milligram per milking, and if milked twice a month, that’s 24 milligrams per scorpion per year. To meet your income goal, you would therefore need about 417 scorpions. This figure highlights the scale of what might initially seem like a small operation.
Considerations and Challenges
Beyond just the numbers, there are significant challenges and considerations in setting up and running a scorpion venom extraction business:
Setup and Ongoing Costs: Initial costs can be quite high, as specialized equipment and facilities are needed to house and safely milk scorpions.
Legal and Ethical Issues: There are often stringent regulations governing the use of animals for commercial purposes, including licensing and welfare considerations.
Market Demand and Stability: The market for scorpion venom is niche and can be volatile. Establishing reliable connections within the industry is essential for success.
Personal Thoughts
I personally think that while the potential for high income is alluring, the scorpion venom extraction business requires a deep commitment and a robust understanding of both the science and the market. It’s not merely about having a large number of scorpions; it’s about creating a sustainable and ethical operation that can consistently produce high-quality venom in a market that is inherently limited and highly specialized.
Feel free to reach out if you’re interested in starting this business!
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How Many Scorpions Do You Need To Make $100,000 Annually?
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