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by saxenaabhi 209 days ago
Isn't openAI already profitable on inference?

I understand training is still costly, but it's not unimaginable for it to turn profitable as well if you think believe they'll generate trillions in value by eliminating millions of jobs.

5 comments

If you eliminate ONE job and let's say the job pays $100K, in theory at most $100K goes instead to AI revenue. In practice it's a lot less, nobody is going to move everything to AI if it's just a 10% saving.

So, to get a trillion in value, you'd have to eliminate many tens or even hundreds of millions of jobs.

Yeah, I think high tens of millions of jobs would be eliminated. Most employers are seat warmers anyways.
No, inference is actually pointing to them being economically unviable.

https://www.ft.com/content/fce77ba4-6231-4920-9e99-693a6c38e...

>Isn't openAI already profitable on inference?

I don't believe this has been the case or claim at all. At best they have recognized some limited use cases in certain models where API tokens have generated a gross profit.

They won’t generate trillions because there are several companies all competing and will undercut each other to win users.
> Isn't openAI already profitable on inference?

Probably not, but the numbers they've released are too opaque to tell.