> until inference becomes much cheaper these companies cannot be profitable. Some mega-players will pay the API token price, but most will not.
This is often repeated but comes from ignorance mostly. You have * zero * reason to believe inference is costly other than just vibes. If you go by data and intuitions - the margins are high.
This kind of thinking really reinforces my belief that people have no idea and are using this whole [AI is not profitable and too costly] thing as a cathartic way to deal with immense progress.
This is often repeated but comes from ignorance mostly. You have * zero * reason to believe inference is costly other than just vibes. If you go by data and intuitions - the margins are high.
This kind of thinking really reinforces my belief that people have no idea and are using this whole [AI is not profitable and too costly] thing as a cathartic way to deal with immense progress.