[HN Gopher] The Myth of Loss: Bitboys
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       The Myth of Loss: Bitboys
        
       Author : davikr
       Score  : 54 points
       Date   : 2024-05-12 13:32 UTC (1 days ago)
        
 (HTM) web link (hardforum.com)
 (TXT) w3m dump (hardforum.com)
        
       | Nokinside wrote:
       | Biboys sold for near $50 million to ATI, then it was sold to
       | Qualcomm.
       | 
       | This is how most semiconductor startups work. Do better and show
       | innovation that is bought buy bigger players.
        
         | miohtama wrote:
         | The problem with hardware business is that it's capital
         | intensive: large, expensive product runs needed. Not many are
         | happy to upfront the bill for a new, unproven, company. Whileas
         | in software business, the upfront cost is fractions, and thus
         | VCs love it more.
         | 
         | Thus, in hardware, funding comes from the existing players who
         | already know the hardware business with its cyclic business and
         | other associated risks.
        
           | dartos wrote:
           | This 100%.
           | 
           | One (A SINGLE) photolithography machine is like $4B.
           | 
           | There's no way for a new player to enter the CPU market
        
             | jstanley wrote:
             | You wouldn't normally be physically manufacturing CPUs
             | yourself.
             | 
             | Most likely you'd be supplying an "IP core", which is
             | basically just software. More niche than that, if you
             | actually wanted to supply physical chips, you would
             | contract out the manufacturing to TSMC for example.
        
             | bittwiddle wrote:
             | This is why most "semiconductor" companies are actually
             | fabless, focusing on design while working with a
             | partner(like TSMC) to have their designs manufactured.
        
               | mlyle wrote:
               | I remember hanging out with Carl Amdahl after we were
               | pitched our nth fabless semiconductor company, and him
               | making the joke that if he ever started another company
               | making IC designs, this time he would call it Fabulous
               | Semiconductor.
        
               | Scoundreller wrote:
               | And even fabbed semiconductor companies de-fab
               | themselves, like AMD.
               | 
               | https://en.m.wikipedia.org/wiki/GlobalFoundries
        
           | throwup238 wrote:
           | I don't think it's a problem with how much capital hardware
           | requires. Biotech startups require an order of magnitude more
           | capital with tons more risk with regulatory approval yet the
           | biotech VC industry is _huge_ - the amount invested annually
           | frequently exceeds all of tech VC. Most of the startups that
           | go public do so with zero revenue, let alone profit, and
           | everyone is perfectly fine to bankroll them through clinical
           | trials even though they 're all or nothing.
           | 
           | I think there's two problems with hardware: first the
           | marginal profit per unit doesn't scale so to make more profit
           | you have to sell more widgets. The same is mostly true for
           | biotech but the profit margins on a drug are usually >95%,
           | with a much higher ceiling, and are heavily recurring, often
           | for the life of a patient. Since biotech customers are mostly
           | insurance companies, the value of a drug is easy to calculate
           | based on its quality of life improvements and past deals.
           | 
           | Second, success is very all or nothing for hardware
           | companies. Each hardware startup will have a limited number
           | of possible acquirers who specialize in their field so they
           | either become profitable and go public or fail. On the other
           | hand, failed tech companies get acquihired by the tech giants
           | and pharmaceutical companies acquire tons of companies before
           | they even finish clinical trials. Any startup that makes it
           | past phase 3 trials has a 99% chance of getting acquired by a
           | pharmaceutical company so the economics of investing are very
           | enticing, despite the massive capital outlays.
        
       | Rinzler89 wrote:
       | It's amazing how many 3D start-ups spun out of the Finish demo
       | scene Future Crew: Bitboys, Remedy Entertainment, 3DMark, and I'm
       | pretty sure others that I'm missing. Anyone know why Finland is
       | such an innovative 3D/software powerhouse?
        
         | pavlov wrote:
         | In my opinion as someone who grew up inside it, the factors
         | that created this fertile ground in Finland for young computer
         | hackers in the 1980s and '90s were:
         | 
         | - High-quality educational system, but without pressures to
         | perform (unlike e.g. many Asian countries). There are no
         | standard exams in Finnish schools except a single national one
         | at the end of high school. Teachers all have a master's degree,
         | it's usually a lifelong career, and they have (had?) lots of
         | latitude to create their own curriculums.
         | 
         | - An economic boom in 1984-89 that enabled many households to
         | acquire home computers.
         | 
         | - Long and dark winters that left kids with plenty of time.
         | Combined with the aforementioned educational system, you had
         | teenagers who were already pretty good at math and English
         | playing around with computers on ample free time.
        
         | nabla9 wrote:
         | Demoscene. Assembly demo party.
         | https://en.wikipedia.org/wiki/Assembly_(demoparty)
         | 
         | Each of the companies you name and more had core people who
         | learned their skills writing demos to Commodore 64, Atari or
         | PC.
        
         | Jensson wrote:
         | Sweden also is strong in similar areas due to that same effect,
         | so the cause should apply to both.
         | 
         | I'd say a big effect is lack of respect for authority figures,
         | people speak up when they see something wrong with no regards
         | to status or authority, and managers tend to accept that. This
         | makes experienced people learn from juniors much better than in
         | many other cultures, which is great to explore new fields. So
         | the game cracking scene that was a big part of the demo scene
         | is just an expression of that strong anti authoritarian
         | culture.
         | 
         | In Japan you have to respect your leader, and in USA you have
         | to be an optimist and not criticize your manager, so their
         | cultures doesn't really get the same effect. It is so much
         | easier when you can just straight out say that someone's demo
         | was bad at something and could probably be made better, and
         | they just listen and improve without you having to be an
         | authority figure.
        
         | smokel wrote:
         | The demoscene was an interesting social phenomenon where
         | "street credit" from the graffiti scene was applied to math
         | dorks. This created a competitive atmosphere that made you stay
         | up late, reading CGPP, PC Intern, and Ferraro.
        
         | to11mtm wrote:
         | I think a few factors/explanations, based on what I remember
         | from colleagues on EFNet...
         | 
         | - Teachers/professors have a more actualized social
         | selection/prestige; the pay is better (especially comparing to
         | a similar US university) so there is more incentive for
         | talented people to stay in education vs go into private sector.
         | 
         | - Finland has a high level of government programs to help
         | industries in various ways. As an example from another
         | industry, Children of Bodom recorded many of their albums in a
         | government owned/sponsored recording studio.
         | 
         | - Finland also has free education. I'm betting a lot of people
         | saw the possibilities, it was likely a bit easier to break into
         | back then.
         | 
         | That said, If you look at the late 80s and early 90s, Finland
         | was a sleeping tech giant. IRC, Linux, InnoDB, Symbian (love it
         | or hate it) all are products from that era...
        
       | EvanAnderson wrote:
       | Presumably this post is a follow-on to this one from the weekend:
       | https://news.ycombinator.com/item?id=40315990
        
       | MisterTea wrote:
       | I remember the PC Gamer issue featuring the tech. You had all
       | those old wild western town screen shots showing things like HDR
       | lighting before HDR was a thing (or felt like it). I also
       | remember E-DRAM (on-die embedded DRAM) that promised insane
       | texture filling speeds. It was exciting at the time as 3D was
       | really blowing up and realism was edging closer and closer.
       | Though noting ever came of it, I always remembered the name
       | Bitboys. I never knew actual hardware existed either.
       | 
       | I was in uni at the time and a professors son went to work for
       | ATI working on graphics chips and I thought it must have been a
       | dream job but the professor countered: "He says it's a boring job
       | dragging libraries of gates into designs, verifying, debugging,
       | and moving on" The following year I heard the son jumped ship to
       | a gaming company doing engine work and loved it.
        
         | torusle wrote:
         | Hardware existed.
         | 
         | Around 2006 I had some automotive entertainment system from NEC
         | on my table which had one of the Bitboys GPU chips on it. Wrote
         | some vector graphics API for it.
         | 
         | It wasn't bad honestly. It supported OpenGL/ES 1.0 I only had
         | to contact them twice for driver bugs. They resolved that
         | within a few days.
        
       | mrgaro wrote:
       | Very weird take to call Future Crew a "research group" and Second
       | Reality a "graphics technology". Future Crew was a PC Demo group
       | (in Demo Scene) and Second Reality an excellent and ground
       | breaking demo. There wasn't any magic technology in it, but
       | instead some very clever effects from the members, bound together
       | into an artistic demo.
       | 
       | I cannot comment anything about the facts what came after with
       | Bitboys, but the author doesn't seem to know the history and
       | details on their demo scene origins.
        
         | blacklion wrote:
         | I come to write this comment.
         | 
         | Only I don't think "Second Reality" is very artistic. It is
         | very impressive technically, but, to be honest, now you could
         | see that it is quilt made from technical demos from different
         | people. Yes, all these sub-demos are technical masterpieces,
         | but demo as whole doesn't have some story or narrative to tell.
         | 
         | I've re-watched it (youtube rendering) now and, to be honest,
         | these 10 minutes is not entertaining, till you remember on
         | which hardware and in how much codesize it was squeezed.
         | 
         | Embossed nuts? Jumping platonic solids? Yes, very impressive
         | for person who tried to program graphics on PC in 1993 and
         | fantastic technical achievement, but artistic? I cannot say so,
         | sorry.
        
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