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Micrococonut 3 hours ago

The analogy is implying that the revenue generated by providers is dwarfed by the total expenditure on inference & continuously training the next best model. These providers have large operational costs and the presumption is that they are providing a dollar ~worth~ of product for 10 cents. Worth being calculable based on the actual capital & operational costs of providing the service.

vanuatu 2 hours ago | parent [-]

anthropic models are profitable fully loaded (rev - inference cost - training cost)

Micrococonut 2 hours ago | parent [-]

Yea I don't know if that's true or not. I'm just saying that is what they are getting at.