> 1. Local inference can cause a large under-utilization of resources from users that do not run local inference hardware at capacity over the hardwares lifespan. This is under-utilization and under-utilization is not optimal from an economics perspective.
Under utilization is not optimal only in one perspective. Maximum utilization of resources. That does not mean it’s not optimal economically.
This kind of underutilization has many other economic benefits.
- Decentralization
- Separation of ownership
- Redundancy
- Hedging against certain risks (such as the internet going down)
Economic value is more than just maximum utilization in the minimum amount of time.
Under utilization is not optimal only in one perspective. Maximum utilization of resources. That does not mean it’s not optimal economically.
This kind of underutilization has many other economic benefits. - Decentralization - Separation of ownership - Redundancy - Hedging against certain risks (such as the internet going down)
Economic value is more than just maximum utilization in the minimum amount of time.