OpenAI CEO says it's 'quite terrible' for your PC to have RAM — Sam Altman says data centers offer better utilization

OpenAI CEO Sam Altman has data centers full of memory, but seemingly it's the 32GB of RAM in your desktop that's the problem. In an interview over beers with the YouTube channel Cheeky Pint, Altman said that local inference, and, by extension, people having DRAM in computers at home, is "quite terrible."

When discussing local inference on home computers with open-source models, Altman discussed the assumption that people will be able to run local AI on their own computers, the ones they may already own or want to build. Then he explained why that's a bad idea (at the 29-minute mark):

"From a global allocation perspective, actually, it's quite terrible to have everybody have a bunch of the world's limited supply of DRAM sitting in their own computer and being used 5% of the time," Altman said. "You want maximum utilization in the cloud if you're trying to deal with this very supply-constrained environment. And somehow many people's intuition is the opposite of that."

While OpenAI does have some open-source models, its primary business is in closed-source models that run in data centers, so he's really defending the company's business model.

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