How is it that cloud LLMs can be so much cheaper? Especially given that local compute, RAM, and storage are often orders of magnitude cheaper than cloud.
Is it possible that this is an AI bubble subsidy where we are actually getting it below cost?
Of course for conventional compute cloud markup is ludicrous, so maybe this is just cloud economy of scale with a much smaller markup.
Is it possible that this is an AI bubble subsidy where we are actually getting it below cost?
Of course for conventional compute cloud markup is ludicrous, so maybe this is just cloud economy of scale with a much smaller markup.