That $1 of compute is not taking into account R&D spending, infrastructure, etc.

And that's their only revenue stream

>That $1 of compute is not taking into account R&D spending, infrastructure, etc

People assume this, but it is wrong. Check the S-1 for Q2, the $2.08 in revenue is for every $1.00 spent on "compute and infrastructure expenses" which also include R&D compute. (Chart is on page 137)

"Compute and infrastructure expenses primarily consist of costs attributable to operating our technology infrastructure, which supports the full range of workloads for our models, including research, model development, serving customers, and internal usage of Claude." page 146 in the S-1/A-1

	▲	drillsteps5 4 hours ago \| parent [-]
		It is not really clear. In the graph on page 137 does the "dollar of compute" includes only compute required for inference to provide the answer? Or does this include training as well? It would be logical to assume that they show expense of compute required to run inference. Leaving training compute (which is huge expense) out.