[_jab]

It's pretty simple; organizations are willing to tolerate paying $1500/month/engineer, which seems to be roughly inline with "normal" consumption for most full-time engineers. If that number grows significantly, then I bet companies will start exploring flash models more, as you propose.

[lavezzi]

They are willing to tolerate it now, which is quite a switch up from the free for all we had a few weeks ago, and if they aren’t able to tie in this new ~$1500p/m cap to demonstrable productivity and revenue increases then that will be kneecapped even faster

[phreeza]

There are plenty of expenses in this order of magnitude that are not tied to direct increases in productivity. I think it may become a serious hiring impediment for companies to be really skimpy on these budgets for example.

[minraws]

There was a time when some employees wanted 1000$ per month for rent, imagine that.

It's absolutely insane, 1500 * 12 is north of 17K dollars, I know that in Google outside of few specific cities and roles.

Getting a 17k bump in salary is good enough to switch, if I was being 17k extra I am more than willing to use my local qwen and hand code most if not all stuff.

Companies can pay for code review tools to make life easier but writing code with AI if it's 10-15% pay cut is just too much.

Everyone is happy right now because this money hasn't been a line item in your salary/benefits.

Imagine 10k yearly AI allowance, I will probably just ask to keep that money.

All the work I do if I was judicious I could do just as much with a 20$ spend or on a local model.

Few tasks need Mythos like models, and if your task does you are already doing too much with AI

[aiisjustanif]

I mean we saw this with cloud spending and especially with logging and database read write cost across numerous companies.

It’s a clear pattern in service delivery for software for a while now. Hell for many goods and services in general, like Uber rides themselves.

Start cheap, get some vendor lock in, service provider reduces discounts, consumer notices and then reacts to the price by reducing consumption.

[rudedogg]

> organizations are willing to tolerate paying $1500/month/engineer

One organization, that is a software company

> which seems to be roughly inline with "normal" consumption for most full-time engineers

My peers are using $20/mo plans, only a handful are using more than $100/mo in tokens. We haven’t had any limits imposed yet.

[epolanski]

Which organizations?

Uber is not representative of any trend beyond big tech and VC over funded startups.