The Economics of Buying Massive Compute

The AI compute crisis is here. Anthropic's Claude is getting dumber and Opus 4.7 & OpenAI's Spud are about to make it worse. What happen's next?

This week on AI For Humans, we dig into the AI compute crunch that's quietly becoming the industry's biggest problem. The Wall Street Journal just ran a cover story about AI using so much energy that computing power is running out. Claude users are noticing the model getting worse, and an AMD Senior AI Director confirmed. AI pundits are asking whether Anthropic's reluctance to release Mythos is really about safety or about not having enough compute.

Meanwhile, Opus 4.7 is reportedly coming next week, rumors are swirling about a new OpenAI model dropping any day, and Uber already blew through its entire annual AI coding budget. Anthropic just signed a deal with Google and Broadcom for more compute. Greg Brockman published an essay on the computer-powered economy.

Plus, Google DeepMind drops Gemini Robotics Reasoning Model ER-1.6, Steven Soderbergh comes to the defense of AI filmmaking, Diplo says you can't fight AI and the internet has opinions, and Ray Kurzweil says we'll soon just accept AIs as conscious because it'll be useless not to.

AI IS RUNNING OUT OF POWER. CLAUDE IS GETTING DUMBER. WHAT COULD GO WRONG?

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// Show Links //

WSJ Cover Story: AI Is Using So Much Energy That Computing Power Is Running Out

https://www.wsj.com/tech/ai/ai-is-using-so-much-energy-that-computing-firepower-is-running-out-156e5c85

Data on Claude Getting Dumber: AMD Senior AI Director Confirms Nerfing

https://x.com/Hesamation/status/2042979500103815306?s=20

Opus 4.7 Coming Next Week (The Information)

https://www.theinformation.com/briefings/exclusive-anthropic-preps-opus-4-7-model-ai-design-tool?rc=c3oojq

Anthropic's Compute Crunch (The Information)

https://www.theinformation.com/newsletters/ai-agenda/anthropics-compute-crunch-strikes?rc=c3oojq

Claude Code Routines

https://x.com/claudeai/status/2044095086460309790?s=20

New Claude Code Desktop App

https://x.com/felixrieseberg/status/2044128194647994585?s=20

Uber Blew Through AI Coding Budgets for the Year Already

https://www.theinformation.com/newsletters/applied-ai/uber-cto-shows-claude-code-can-blow-ai-budgets?rc=c3oojq

Greg Brockman Essay on the Computer-Powered Economy

https://x.com/gdb/status/2043831031468568734

OpenAI's Reckless Spending and Datacenter Cancellations

https://x.com/firstadopter/status/2043009456103993426?s=20

Ray Kurzweil on AI Consciousness

https://x.com/newstart_2024/status/2043716604442128460?s=20

Gemini Robotics ER-1.6 Blog Post

https://deepmind.google/blog/gemini-robotics-er-1-6/

Steven Soderbergh Defends AI Filmmaking

https://variety.com/2026/film/news/steven-soderbergh-the-christophers-star-wars-ben-solo-movie-controversial-ai-comments-1236713201/

Diplo: You Can't Fight AI

https://youtu.be/zFVpJFFN3dI?si=C6_0MxmNzSHCdrds

PI Hard: Fun AI Video

https://x.com/aiordieshow/status/2044044721459265557?s=20