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The AI Blob: Musk’s Fears Realized in a Network of Shifting Alliances

Artificial Intelligence Tech Industry DeepMind OpenAI Nvidia Microsoft Cloud Computing
November 21, 2025
Source: Wired AI
Viqus Verdict Logo Viqus Verdict Logo 9
Systemic Risk
Media Hype 7/10
Real Impact 9/10

Article Summary

The article paints a stark picture of the current state of artificial intelligence, arguing that it’s coalesced into a sprawling ‘Blob’ – a complex, interlocking network of partnerships, funding, and strategic investments, largely fueled by Elon Musk’s early concerns about the unchecked power of profit-driven AI development. The Blob’s central actors include tech giants like Microsoft, Nvidia, Google, and Saudi Arabia, with the US government seemingly tacitly supporting its growth. The driving force behind this network is the immense computational power and capital required to train and operate large language models (LLMs). The article details how key players – like Nvidia, Microsoft, and Anthropic – engage in a series of increasingly complex deals, primarily exchanging compute power for access to AI technology, creating a system where each entity feeds directly into the others, with little regard for customer involvement. The proliferation of these arrangements – including deals between the US government and Saudi Arabia – creates a system where any disruption or financial downturn could trigger a cascading collapse. The article highlights the absurdity of these arrangements, illustrated by events like the AI illuminati gathering at White House events to honor Mohammed bin Salman, underscoring the prioritization of political connections over responsible AI development. The central argument is that Musk’s initial anxieties about the potential dangers of unchecked AI growth have materialized, leading to a situation where a single, powerful entity – ‘The Blob’ – dominates the field, regardless of its motivations.

Key Points

  • The current AI landscape has evolved into a complex ‘Blob’ of interconnected companies and nations, driven by the massive computational demands of LLMs.
  • Key players engage in intricate deals – often involving compute for access to AI technology – creating a system where mutual dependence and shifting alliances are the norm.
  • Elon Musk’s initial fears about the potential for profit-driven forces to control AI have materialized, leading to a concentrated power structure with significant implications for stability and innovation.

Why It Matters

This article matters because it provides a critical assessment of the rapidly evolving AI landscape. It’s not just about the technological advancements themselves, but about the structures of power surrounding those advancements. The ‘Blob’ framework highlights the inherent risks of unchecked consolidation in a transformative technology, and raises important questions about governance, competition, and the potential for misuse. For professionals in the tech industry, this analysis provides a crucial perspective on the dynamics shaping the future of AI, emphasizing the need for vigilance and proactive discussions regarding ethical and strategic implications. The piece offers a stark warning that the race to dominate AI is not simply a technological competition, but a geopolitical one, with potentially profound consequences for global stability and innovation.

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