[OGWhales]

> even if we assume their margins are 90% (they are not)

How do you know they are not?

It will be curious to see the cost of inference for these newly released open weight models and will help give an idea of the actual cost of inference. But for now, I think saying the $200 plans allows for "tens of thousands of dollars worth of inference" provides very little insight when you are measuring the inference cost in API pricing with an unknown margin.

[reticulates]

We don’t “know” because they haven’t released any numbers but the most optimistic estimates (which many people believe are very very optimistic) put it at 60%: https://newsletter.semianalysis.com/p/anthropic-growth-and-b...

The simple question to ask is, if it is so profitable, where is all the money going? If Anthropic have 90% margins on API usage and API usage is $50bn+ in revenue per year, where is the $45bn going? Why do they need to raise so much cash, constantly?

[user43928]

I am not knowledgeable about their finances.

But I do wonder how a 60% margin would be realistic when Sonnet costs 3-6x more than GLM 5.2 hosted by third party providers.

[loolhahalmao]

they're taking the revenue and spending it on infra they're borrowing money and spending that on infra somehow, they still don't have enough capacity