The whole thing was a scam

(garymarcus.substack.com)

282 points | by guilamu 4 hours ago

27 comments

  • Ifkaluva 2 hours ago
    25M isn’t even that much money. Not only are they whores, they’re cheap whores.
    • Cyphase 49 minutes ago
      Quite tangential, but this reminded me of a line from Human Target:

      https://www.dailymotion.com/video/x6tqvzt?start=872&mute=fal...

      "I'm sorry, you... You think I'm a prostitute?"

      looks at offered cash

      "A $40 prostitute?"

      • atmosx 3 minutes ago
        Cheap or not doesn’t matter.

        Sir Winston Churchill supposedly asked Lady Astor whether she would sleep with him for five million pounds. She said she supposed she would. Then he asked whether she would sleep with him for only five pounds. She answered,"What do you think I am?" His response was, "We've already established that; we're merely haggling over price."- Marcus Felson, Crime and Everyday Life, Second Edition, 1998

    • awakeasleep 1 hour ago
      It’s a lot of money for a “what have you done for me lately?” scenario

      Like, this is opex

    • munificent 1 hour ago
      A whore doesn't have to charge any given john very much when they can service a large number of them.
    • coldtea 29 minutes ago
      In this context they're not the whores, they're the johns. Trump / the PAC would be the whores, but what else is new?
    • mindslight 1 hour ago
      It's a loss-leader. Once the patronage system has solidly taken hold, then they raise the prices. Our only consolation is that the fascist-supporting techbros are going to be victims of their own enshittification dynamic - they think they're paying customers, but they're actually the product. The autocracy will continue to increase its meddling to maintain its own political legitimacy. Moldbug's enlightened benevolent monarch who needn't care about politics is a pipe dream.
  • seydor 47 minutes ago
    Such high levels of corruption are not usually called "scam"
  • juleiie 17 minutes ago
    In a closed society where everybody's guilty, the only crime is getting caught. In a world of thieves, the only final sin is stupidity.

    This HST quote seems severely outdated by now. They have already been caught, committed all the sins of stupidity and some more. All of it to the clapping mob of people who yearn for some kind of social revenge.

    And it’s happening everywhere these last years.

    Who could possibly know we have so many wife beaters?

    • isoprophlex 1 minute ago
      Not a week goes by without me thinking "what would HST have made of THIS fresh bullshit, if he were alive today"
  • mentalgear 3 hours ago
    PS: If openly bribing a crony gov to cancel your competitor is now the de-facto standard of making business in the US, I don't see how any rational investor could still see US companies as a secure investment. When the rule of law degrades into pay-to-play politics, the inevitable result is a mass exodus of both capital and top-tier talent.
    • jfengel 2 hours ago
      It's bizarre seeing the outright bribery.

      A lot of things that people call "bribery" is really just ensuring that your preferred candidate gets in office. You couldn't give money directly to the candidate for personal use. Donations went to the campaign of the guy who already agreed with you. The FEC used to take a dim view of outright pay-for-service, even dressed up.

      This is new. And now people need to decide how they feel about that. They get one chance to say "no, that's not how we do things." Even if the administration suffers a blow this November, if they hear that this is mostly acceptable to their base, it will be what every politician does from here on.

      • coldtea 26 minutes ago
        >A lot of things that people call "bribery" is really just ensuring that your preferred candidate gets in office.

        Having a preferred candidate you give money to is already bribery - whatever the law says. You fund your favorite pony to get the power. They then scratch your back or lend a sympathetic ear.

      • specialist 1 hour ago
        IANAL, IIRC: SCOTUS has very narrowly defined bribery as explicit quid pro quo. And sometimes not even then.
        • RajT88 17 minutes ago
          You recall correctly.

          And they did so, so they could take bribes with no consequences as long as they take them the right way.

      • wrqvrwvq 1 hour ago
        In what sense is this new, other than a different side cares about the optics?
        • mikestew 59 minutes ago
          OP explained it clearly: “you couldn’t $1, now you can”. It would be helpful if you explained which part did you not understand. Alternatively, that barking sound I hear might be a sea lion.
    • ilamont 24 minutes ago
      > When the rule of law degrades into pay-to-play politics, the inevitable result is a mass exodus of both capital and top-tier talent.

      No, it's not inevitable. What you've described is the way a lot of countries work, such as China. China attracts plenty of capital and external talent, including people from other countries such as Taiwan and the United States. You have be all-in on the CCP's rules, though.

      Vietnam works in a similar way. Untold billions of FDI in the past 20 years from Japan, the U.S. and China. Talk with top executives there, and you'll frequently find close connections or family ties with leaders in Hanoi.

    • dragonwriter 3 hours ago
      > If openly bribing a crony gov to cancel your competitor is now the de-facto standard of making business in the US

      It very clearly is, the present AI instance is far from the only recent case.

      > I don't see how any rational investor could still see US companies as a secure investment.

      They evaluate the propensity and ability to profitably engage in open corruption the same as they evaluate other capacities of the company. “Secure” isn't a binary category, and the risk here is much like any other risk.

      > When the rule of law degrades into pay-to-play politics, the inevitable result is a mass exodus of both capital and top-tier talent.

      That is the expected result of increasing perceived risk. yes, probably one of those “slowly and then all at once” things.

    • coldtea 27 minutes ago
      >I don't see how any rational investor could still see US companies as a secure investment.

      Investors just care for the returns. As long as they can identify and bet on the side doing the bribing, they're fine...

    • ProllyInfamous 2 hours ago
      >I don't see how any rational investor could still see US companies as a secure investment.

      2025 was also the first year that the majority of stocks were traded off-market (i.e. hedgie darkpools, no public price discovery).

      ----

      Hope ya'll bought your gold before Monday.

      #RemindMe2days [gold@5290USD, this post]

      • maxbond 24 minutes ago
        Trades in dark pools still get published to the consolidated tape; they're still part of price discovery. What's "dark" about them is that you don't see the order book, but people break up large orders into smaller orders to disguise their order size in lit markets too.
      • burner_ 1 hour ago
        >2025 was also the first year that the majority of stocks were traded off-market (i.e. hedgie darkpools, no public price discovery).

        Do you have any sources for that?

    • CamperBob2 2 hours ago
      the inevitable result is a mass exodus of both capital and top-tier talent

      To where?

      • ben_w 2 hours ago
        Anywhere offering opportunity.

        I'm in Europe, I'd like to see it come here. The news I see suggests China's ahead of us in this race, but I don't know if that's for all talent, or if it was just an artefact of a lot of Chinese people in the US on work visas returning home.

        Or indeed whether the news about China doing well here was real or hallucinated by an LLM.

        • jakeydus 2 hours ago
          If engineers in the US (i.e. me) want to find work in Europe, what can we do? I know that’s a googleable question but honestly I can’t help but think that there cannot be any European country that would want me and my family.

          Immigration is hard.

          • ben_w 1 hour ago
            It is hard.

            I moved to Germany in 2018, and only just this month reached B1 level in the language; and that was a pre-Brexit move so I don't need to care about visa.

            The EU has a "blue card" scheme modeled on US green card: https://en.wikipedia.org/wiki/Blue_Card_(European_Union)

            If language is your biggest barrier, pick a country whose language you already speak. As this clearly includes English, Ireland if you want specifically EU, and UK if you just want the continent (mainly London, but I spent a long time in Cambridge tech sector).

            Germany may still be an option even without being a native speaker (depending on your skills), but with all the difficulty everyone has today with AI messing with job hunting, get the contract before considering a move.

          • fernly 1 hour ago
            Not that hard if you are in young to middle years and have any job experience. I asked Perplexity "If an American citizen, a trained engineer with some experience, desired to work abroad in the EU or an English-first nation, what are some good websites to check?"

            I suggest you do the same -- the reply lists a dozen promising sites.

            https://www.perplexity.ai/search/if-an-american-citizen-a-tr...

      • AndroTux 1 hour ago
        Europe is nice this time of year
    • foogazi 2 hours ago
      > I don't see how any rational investor could still see US companies as a secure investment.

      It’s the best investment - just bribe your way to contracts

  • mpalmer 25 minutes ago
    Is this a blog post or someone's notes for a blog post?
    • phtrivier 18 minutes ago
      It's a short and quick blog post. Bloggers used to do that once in a while (before twitter made it the only allowed mode of expression to please the advertisers.)

      Other posts from G.Marcus are much longer. Go read them, but be prepared for some "adversarial thinking" if you strongly believe in the scaling hypothesis. Might border on "bubble popping ". You're all for free speech and the free market of idea, so it won't be a problem.

      However, he has a low threshold for bullshit. And SamA is probably not getting any higher in his esteem this week.

      • mpalmer 16 minutes ago
        LOL. Are you mistaking writing critique for some childish form of disagreement on the issues?
  • ltpajh 2 hours ago
    To summarize all nepotism indicators posted here by various people:

    - The Kushner family has invested in OpenAI.

    - OpenAI uses Oracle cloud. Ellison is close to Trump.

    - Sheikh Tahnoon bin Zayed Al Nahyan (the “spy sheikh") has invested $500 million in World Liberty and is also invested in OpenAI.

    - Altman is a protege of Thiel, whose Palantir integrates the external AI at the Pentagon.

    - The scam occurs right before the Iran war starts. The Groq sale scam (where Trump Jr.'s 1789 Capital bought shares just months before the sale) occurred right before Christmas. So both were timed to be overshadowed by larger events or holidays.

    • pjc50 23 minutes ago
      Don't overlook the media consolidation under Bari Weiss.
    • NetOpWibby 1 hour ago
      Sweet, excellent idea for the government to tie itself to a bubble.

      If it doesn't pop while Trump's in office, his successor will inherit this mess, bubble will pop, and that person will have to deal with managing the fallout.

      The time to lock-in gainful employment is now (if you can).

      • tokai 1 hour ago
        A bubble is just a great opportunity to pass more money to yourself and your friends.
        • specialist 1 hour ago
          And then hoover up assets after the bubble pops.

          Lather, rinse, repeat.

  • mentalgear 3 hours ago
    "On the very same day that Altman offered public support to Amodei [CEO of Anthropic], he signed a deal to take away Amodei’s business, with a deal that wasn’t all that different. You can’t get more Altman than that."
    • imjonse 1 hour ago
      He's young, he's got enough time to outdo himself.
  • readthenotes1 58 minutes ago
    A lot of rightfully righteous anger here. I'm amused that this wasn't the response when semiconductors from Taiwan were exempted from tarrifs. There, the bribe was much smaller...
  • nickdothutton 29 minutes ago
    I'll try not to be too flippant but... he thought the US ever _wasn't_ an oligarchy?
    • bloomingeek 23 minutes ago
      Flippant be hanged! IMO, it all started with W Bush, who put the icing on that cake by invading Iraq based on a televised lie. He was "sneaky" but the current administration doesn't even try to sneak. The mid-terms may be our final chance to save our nation.
  • erelong 27 minutes ago
    sounds likely and plausible but also like an "unproven conspiracy theory"
    • cyanydeez 25 minutes ago
      which part is unproven enough to not seem like a kleptocracy?
  • wosined 31 minutes ago
    I wouldn't be surprised if after some time we found out that Amodei signed the same deal as well, and then he will go on a press tour about how he was forced to do it.
  • dana321 1 hour ago
    I was scratching my head trying to work out the difference between the deal with anthropic, and the deal with openai.

    I asked gemini.

    The one detail was that the contract enforced the law with anthropic, but with openai it was legal uses.

    Sounds like hair splitting, but this article explains the real story.

  • 7sigma 26 minutes ago
    "In capitalism, the market decides.

    In oligarchy, connections and donations decide."

    Who's gonna tell him there never was a difference?

  • dlev_pika 25 minutes ago
    > In capitalism, the market decides.

    > In oligarchy, connections and donations decide.

    > It sure look like the US is transitioning from the former to the latter.

    I thought this was already pretty clear - since Elmo bunny hopped on Trump’s rally stage

  • ajshahH 2 hours ago
    > In oligarchy, connections and donations decide. It sure look like the US is transitioning from the former to the latter

    Transitioning? That happened post WW2. How many more wars in the Middle East do we need to convince people?

    Though, I think it’s hard for Marcus’ generation to see this. Odd given Vance’s connections to Thiel et al.

    • georgemcbay 2 hours ago
      > Transitioning?

      To be fair, there has been a notable recent shift in the sense that nobody even tries to hide what is going on anymore.

      We've moved beyond manufacturing consent to ass out corruption on full display, "try to stop me."

  • imjonse 1 hour ago
    > In capitalism, the market decides.

    > In oligarchy, connections and donations decide.

    > It sure look like the US is transitioning from the former to the latter.

    One has to wonder on what planet Gary Marcus has lived so far.

    • KaiserPro 49 minutes ago
      In his defence, previously money won, rather than bribing someone to get a competitor nuked from orbit.

      Sure you could smear an opposition company, but just straight bribing the government is new, at this scale

    • micromacrofoot 16 minutes ago
      There was a long stretch where money would be more of a deciding factor than who you know, and I think we're crossing the threshold where who you know is becoming all that matters.
  • dist-epoch 2 hours ago
    > but after Brockman had donated 25M to Trump’s PAC

    > In capitalism, the market decides.

    > In oligarchy, connections and donations decide.

    Author is confused about what Capitalism is. It worked exactly as expected, Capital used itself to advance it's own needs - maximizing (own) growth.

    Capitalism is not about markets, it's about Capital.

    There is a reason why lobbying is an accepted practice in one of the most Capitalistic countries in the world, and generally forbidden in Socialist EU.

    • jeremyjh 2 hours ago
      Which prominent economist has argued that bribes are an essential part of Capitalism?
    • NicuCalcea 2 hours ago
      > generally forbidden in Socialist EU

      This is one of those cases where you wish your critics were right. One in 40 people in Brussels is a lobbyist, but apparently it's forbidden.

      • drcongo 2 hours ago
        Very kind of you to only pick one error in the parent post to critique.
        • NicuCalcea 1 hour ago
          I've been working with UK/EU lobbying data in recent months, so that's the one I felt competent to pick on. I thought I'd leave the nature of capitalism to someone else.
  • WesolyKubeczek 2 hours ago
    "Is transitioning to oligarchy"? Really? I don't see how present continuous is justified here.

    It has always been an old boys club where connections and hand greasing decided it all. President Trump is the product of this system, not its creator or builder.

  • AndrewKemendo 2 hours ago
    What does this have to do with AI capabilities specifically?

    This is literally the politics of running massive business interests, which I understand is relevant for technology and everything…

    … but isn’t Gary Marcus’s whole game that AI is not capable and people are wrong/lying about AI tech capabilities?

    I feel like this is a handy moment for Gary where he can say he could basically ignore all of his previous claims (because they’re all technically wrong) and shift into “AI is bad for society because it’s more crony capitalism” or something kind of muddy argument.

    • MadxX79 2 hours ago
      What's your argument here? He's not allowed to discuss crony capitalism because you imagine that he thinks LLMs suddenly became reliable.
      • AndrewKemendo 1 hour ago
        It’s a comment about who Gary Marcus is presenting himself as

        My intention is for other people to think what I believe which is Gary Marcus is a hack and has no business being listened to with respect to technical evaluation of AI because he’s not technically competent enough to do. The existence of his polemics waste everybody’s time and generally waste resources like we’re wasting right now.

        His entire schtick has been as the debunker in chief of claims of AI capabilities

        If you actually look at his polemics they increasingly have nothing to do with his original argument because his original argument not only is flawed but is ignorant of the technical capabilities

        • nickthegreek 43 minutes ago
          Then disassemble the argument the author is making and show people an alternative reality based take if you want to be taken seriously.
  • drcongo 2 hours ago
    It's only a matter of time before an OpenAI killer drone accidentally targets Gary Marcus and Scam Altman says "oopsie".
  • ddoottddoott 1 hour ago
    Let that sink in!
  • kledru 1 hour ago
    I think he is right here, but it is interesting to see that Gary Marcus is transitioning to AI too (writing style...)
    • NathanielK 1 hour ago
      > But here’s the kicker > Let that sink in

      The biggest tell for AI writing is just being AI adjacent. I've started avoiding reading AI articles here because (surprise) they all feel like a chatGPT transcript.

  • pton_xd 2 hours ago
    This https://x.com/UnderSecretaryF/status/2027594072811098230 is the simplest and most logical explanation as to what happened. The disagreement was over who would be the arbiter of "lawful usage" of the technology, the US government or Amodei.
    • afthonos 2 hours ago
      No, that’s not accurate at all, and in case you are genuinely confused:

      1. Anthropic should be free to sell its services under whatever legal terms and conditions it wants.

      2. The Pentagon should be free to buy those services, negotiate for different terms, refuse to buy those services, and terminate contracts subject to any termination clauses.

      You may or may not agree with what the Pentagon wants to do, but if things had stayed there, there would be no real issue.

      The problem is that the Pentagon is trying to bury Anthropic as a company, calling it a danger to the United States because it exerted its non-controversial right in (1).

      Any “explanation” that doesn’t address that is confused itself or trying to confuse the issue.

      I leave it to you as to which category the linked source falls under.

      • pton_xd 2 hours ago
        1. Agree

        2. Agree

        > The problem is that the Pentagon is trying to bury Anthropic as a company, calling it a danger to the United States because it exerted its non-controversial right in (1).

        My take is that the DoD very much wanted to continue using Claude. However, Amodei refused to budge on relinquishing final say over Claude usage. The DoD took this as a personal offense (how dare this guy, does he know who we are, etc) and lashed out in retaliation. The whole sequence of events makes sense when viewed under this lense.

        • otterley 1 hour ago
          > Amodei refused to budge on relinquishing final say over Claude usage.

          So did Altman. The terms of each company’s agreement with the DoW are roughly the same when they come out of the wash.

          “Mr. Altman negotiated with the Department of Defense in a different way from Anthropic, agreeing to the use of OpenAI’s technology for all lawful purposes. Along the way, he also negotiated the right to put safeguards into OpenAI’s technologies that would prevent its systems from being used in ways that it did not want them to be.”

          https://www.nytimes.com/2026/02/27/technology/openai-agreeme...

        • beej71 35 minutes ago
          > However, Amodei refused to budge on relinquishing final say over Claude usage.

          And that's 100% acceptable and legal. They have the right to do that. And DoW can then turn around and say "no deal". And that's 100% acceptable and legal.

          So Hegseth going above and beyond and lashing out on the People's behalf like a butthurt child is unwarranted at best, and should definitely be illegal if it's not already.

    • jeremyjh 2 hours ago
      Do you actually believe things this administration says? Is there some kind of drug that makes this possible?
  • 111111101101 28 minutes ago
    "But I believe in fair play. This wasn’t that."

    Anthropic’s Super Bowl ads weren't fair play either.

    • esafak 15 minutes ago
      Why not??
      • 111111101101 6 minutes ago
        Because the models aren't going to be recommending products in their conversations. The ads will be visually separate from the model's output.
  • woah 7 minutes ago
    Seems pretty unimportant and inconsequential though because LLMs don't work anyway because they aren't logic-based symbolic AI like Gary's startup, right?