| ▲ | layoric a day ago |
| > how any of these companies remain sustainable They don't, they have a big bag of money they are burning through, and working to raise more. Anthropic is in a better position cause they don't have the majority of the public using their free-tier. But, AFAICT, none of the big players are profitable, some might get there, but likely through verticals rather than just model access. |
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| ▲ | tymscar a day ago | parent | next [-] |
| Doesn’t this mean that realistically even if “the bubble never pops”, at some point money will run dry? Or do these people just bet on the post money world of AI? |
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| ▲ | Aeolun a day ago | parent | next [-] | | The money won’t run dry. They’ll just stop providing a free plan when the marginal benefits of having one don’t outweigh the costs any more. | | |
| ▲ | fy20 a day ago | parent | next [-] | | In two years time you'll need to add an 10% Environmental Tax, 25% Displaced Workers Tax, and 50% tip to your OpenAI bills. | | | |
| ▲ | Iolaum 16 hours ago | parent | prev [-] | | It's more likely that the free tier model will be a distilled lower parameter count model that will be cheap enough to run. |
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| ▲ | layoric 20 hours ago | parent | prev [-] | | They will likely just charge a lot more money for these services. Eg, the $200+ per months I think could become more of the entry level in 3-5 years. Saying that smaller models are getting very good, so there could be low margin direct model services and expensive verticals IMO. | | |
| ▲ | AstroBen 9 hours ago | parent [-] | | At that price it would start to be worth it to set up your own hardware and run local open source models |
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| ▲ | KennyBlanken 8 hours ago | parent | prev [-] |
| If your house is on fire, the fact that the village are throwing firewood through the windows doesn't really mean the house will stay standing longer. |