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Comment by swyx | Hacker News Reader

maybe Europe needs to lighten up a little on the credentialism. (i am not at all saying this is exclusive to europe tho)

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Definitely, but it is not our only problem. We don't get those lucrative internships and neither do we get the boatloads of startup capital.

It's all caused by the same risk averse mentality, though.

The "risk averse" mentality is insightful to me, attempting to comprehend what cultural differences my (European issue) parents engage the world with

Oh, it's definitely one of the most distinctive difference between US and Europe. Of course it is not all the same. Germans are on the more conservative side, while the Dutch are known to be more entrepreneurial. But overall none is on the same level as you Americans.

It's caused by "a business that loses billions of dollars a year for over a decade isn't a sustainable business" mentality. The US is the exact opposite.

Even OpenAI, however amazing it is, is not a business (yet?). It's a money sink.

"Loss-leader" is the term, I believe

No, that's something different.

https://en.wikipedia.org/wiki/Loss_leader

The thing being talked about doesn't have a widely-used nickname, though "Blitzscaling" is probably the closest.

Oh, I see, yeah maybe not the exact right fit is "loss leader" but it sounds good. Hmm. It's more like domination via attrition?

There's also price dumping involved in many of these schemes.

It's the good ol drug dealer adage just at blitzscale as gp put it.

The first hit is always free

Can you point to an example of a country that had/has a similar mentality to the US and it backfired?

I don't think there's a single country where people keep pouring infinite money into unprofitable businesses, and calling them successful and innovative.

Note: I'm not talking only about OpenAI. You can look at YConbinator's own top companies and try and find businesses that are profitable for longer than a year, and not with a history of "for a decade they were losing a billion dollars a year but are now finally profitable with 10 dollars of profit"

Most importantly, it’s bankruptcy laws in the US that encourage and reward risk taking which push technology forward. Last I’ve heard Europe is trying to update its laws for this exact reason

This is true. But this is also what happens when there is too much money at play, and not enough of a try-and-fail approach.

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