[realz]

If developers and enterprises can host their own OSS/fine-tuned models, why will they pay Anthropic or OpenAI?

[simonw]

Because hosting a really GOOD model requires hardware that costs tens of thousands of dollars.

It's much cheaper to timeshare that hardware with other users than to buy and run it yourself.

[realz]

That may be true for independent devs or startups. Larger companies have enough demand to justify a few A/H100s.