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Is this the same AI promoting youtuber who gave us the term vibe coding?
Yes actually! He was also a co-founder of OpenAI and head of Tesla AI. He gets around.
Calling Karpathy a YouTuber is like referring to Einstein as a Physics Teacher.
So software 2.0 is huge and inefficient. It is nondeterministic. It is not reproducible. It is not correct (with the same definition of correct used for usual stuff. I.E. If there is a right answer, it will give that one and only ever that one). It is not auditable. It is not modifiable in a targeted manner. It offers literally zero guarantees about anything it might (or might not) do.

This reeks

It might help to see it as a new thing. True, it doesn't have all the strengths of software. Plus you're right, it has many new weaknesses! But it also has new strengths. And I'd bet that the people of tomorrow will invent some pretty cool things with it.
What are the strengths? And saving developer time is not one of them. This is assuming that reviewing and understanding the code (properly) takes as much time as actually writing it. (If it's not, then you're not saving work, you're skipping work)
The piece is from 2017, it was a time before LLMs, when AI was much more modest