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by enragedcacti
639 days ago
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I though his point was fairly clear. When Microsoft tries to charge non-AI companies at or above cost for generative AI products basically no one takes the deal. OpenAI and Anthropic have a lot of revenue but: > Based on how unprofitable they are, I hypothesize that if OpenAI or Anthropic charged prices closer to their actual costs, there would be a ten-to-a-hundred-times increase in the price of API calls, though it's impossible to say how much without the actual numbers. Lots of revenue is flowing into generative AI but would that trend continue if they started needing to actually cover costs? And how much of that revenue is from AI companies that would pop right alongside them? |
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