TimFreeman comments on The Aliens have Landed! - Less Wrong
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It seems you can set up a similar scenario without simulations: have the aliens physically kidnap 90% of the human race, then try to blackmail the other 10% into killing themselves. That would make for an interesting moral dilemma too.
But that would require actually doing something. Sending in a bunch of otherwise inert computational nodes is much cheaper. Hell, they don't even need to send them in. If they can convince people remotely that they're torturing simulations, they can commit genocide by telecommuting, assuming people with Fred's preferences are in power.
He's saying that Fred would end up with essentially the same dilemma, not that the aliens should have done it that way.