> The major providers are unprofitable after you add in the training and research costs and other overheads.

This is correct for now, but I recently read that 90% of Anthropic's code is written by Claude Code itself. So, if an AI is using its previous version to train the next version, we're not far from the day where these models will take up the decision making process too. For eg: Decisions API by OpenAI or Jev is based exactly on this. What if a model like Jev sits behind Opus 5.5 and guides it to take the next step? Wooh.

Probabilistic predictions right now are at 99% for frontier models. They will never be 100%, but if humans rate themselves 99.9% in decision making, that benchmark can be broken.

As far as I know they haven't been doing any mass layoffs.

So if Claude Code is writing 90% of the code, then why are they keeping probably the most expensive engineers in the world on the payroll?

The machine writing all the code seems to not be enough, even for the company with access to the best models. What's the alternative to explain this discrepancy?