I think what you’re describing is a more general race to the bottom where everyone loses, including the AI companies.

This won’t happen because the AI companies will collude to prevent it from happening, meaning they’ll drop out of that race leaving the rest of us to claim victory.

Generous of them, really.

No Im not describing a race to the bottom. Im saying that its in Google's best interest to ensure Anthropic and OAI do not continue to operate as a going concern and generate enough cash flows to finance reinvestment - by providing a very competitive offering.

Price of tokens is one competitive-instrument for them to achieve that but not the only one - they offer a whole lot more to enterprises that OAI and Anthropic don't.

By doing so Anthropic and OAI's valuations go crashing into the ground along with future prospects of raising funding externally.