I think hardware prices will come back down once we start seeing more efficiency improvements in models and hardware, and once more people and companies self-host models (which seems to be happening more and more these days). I think the massive infra/hardware expenditures of OpenAI and the like are going to end up unnecessary, leading to hardware price drops.

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t-sauer an hour ago | parent [-]

If companies decide to self-host, wouldn't that drive the demand and therefore prices up? Most companies currently do not have the needed infrastructure.

	▲	aleqs 29 minutes ago \| parent [-]
		I think companies will self host (including on rented hardware) even if it's more expensive, and that, along with efficiency improvements, will drop demand for big AI. I think big AI is overspending on hardware/datacenters at the moment.