[simianwords]

> If we subtract the cost of compute from revenue to calculate the gross margin (on an accounting basis),2 it seems to be about 50% — lower than the norm for software companies (where 60-80% is typical) but still higher than many industries.

https://epoch.ai/gradient-updates/can-ai-companies-become-pr...

[lysace]

The context of that quote is OpenAI as a whole.