AI always seems to perform best on the first day after release, and then its performance gradually declines.

Is the AI itself degrading? Or is it because of product-policy changes, such as system prompt modifications and usage limits? Or is it both?

I sometimes wonder whether degradation is simply an inherent property of LLMs themselves.

What we learned recently is that they are tuning things. There is less compute, less tokens, less of what ever else is there thrown at it as time goes on.

They use these releases to get users. When they got them they can play around with "degrading" model just enough not to loose users but save on costs. It sadly kinda makes sense...