Investors had a general idea of what was going on at Tesla and thought their profits might be down to 20% of what they were last year, so prices went down before Tesla announced their results. Then the results came out. The results were terrible, but not as terrible as the rumours made it sound. So, share prices went back up a bit.

That makes perfect sense. Stocks are like gambling, where a lot of the bets make sense. This is like the odds on a sports game being very long before an injury report is released, and the odds getting slightly better after the injury report is released and it’s not as bad as feared.

Where TSLA stock makes absolutely no sense is the P/E ratio. That’s the price investors are paying for the shares compared to the earnings per share. An old, reliable company that probably won’t grow very much but that has reliably made a steady profit year after year might have a P/E ratio of 5. Tech stocks that might grow a lot in the future might have a P/E ratio of 20 because the expectation is that they have a lot of room to grow, and that in 5 years their revenues and profits might have tripled.

For a typical car company that’s well run, a P/E ratio of about 5-10 is normal. Volkswagen is at about 8, Toyota is at about 10, Ford is at about 12.

Tesla’s P/E ratio is currently 283.38, and its market cap is $1.386 trillion. So, Tesla investors somehow think that Tesla is going to grow to become hundreds of times its current size and/or massively profitable.

So, the day-to-day movements of Tesla’s stock price make sense in the abstract. Investors assuming bad news sell shares, when the news isn’t as bad as feared, investors buy shares. Where they make no sense at all is that the investors are somehow deluding themselves into thinking this tiny car company is about to do something to juice its share price to the moon, like inventing nuclear fusion, or perfecting a time machine.

It’s a tiny amount, but it sets an important precedent. Not only Air Canada, but every company in Canada is now going to have to follow that precedent. It means that if a chatbot in Canada says something, the presumption is that the chatbot is speaking for the company.

It would have been a disaster to have any other ruling. It would have meant that the chatbot was now an accountability sink. No matter what the chatbot said, it would have been the chatbot’s fault. With this ruling, it’s the other way around. People can assume that the chatbot speaks for the company (the same way they would with a human rep) and sue the company for damages if they’re misled by the chatbot. That’s excellent for users, and also excellent to slow down chatbot adoption, because the company is now on the hook for its hallucinations, not the end-user.

Google became crap shortly after their company name became a synonym for online searches. When you don’t have competitors, you don’t have to work as hard to provide search results – especially if you’re actively paying Apple not to come up with their own search engine, Firefox to maintain Google as their default search engine, etc. IMO AI has been the shiny new thing they’re interested in as they continue to neglect search quality, but it wasn’t responsible for the decline of search quality.

Yeah, this is why polling is hard.

Online polls are much more likely to be answered by people who like to answer polls than people who don’t. People who use Duck Duck Go are much more likely to be privacy-focused, knowledgeable enough to use a different search engine other than the default, etc.

This is also an echo chamber (The Fediverse) discussing the results of a poll on another similar echo chamber (Duck Duck Go). You won’t find nearly as many people on Lemmy or Mastodon who love AI as you will in most of the world. Still, I do get the impression that it’s a lot less popular than the AI companies want us to think.