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113 points sethkim | 1 comments | | HN request time: 0.207s | source
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guluarte ◴[] No.44457853[source]
they are doing the we work approach, gain customers at all costs even if that means losing money.
replies(2): >>44457901 #>>44466539 #
FirmwareBurner ◴[] No.44457901[source]
Aren't all LLMs loosing money at this point?
replies(2): >>44457920 #>>44457926 #
simonw ◴[] No.44457920[source]
I don't believe that's true on inference - I think most if not all of the major providers are selling inference at a (likely very small) margin over what it costs to serve them (hardware + energy).

They likely lose money when you take into account the capital cost of training the model itself, but that cost is at least fixed: once it's trained you can serve traffic from it for as long as you chose to keep the model running in production.

replies(2): >>44458459 #>>44466189 #
1. bungalowmunch ◴[] No.44458459[source]
yes I would generally agree; although I don't have a have source for this, I've heard whispers of Anthropic running at a much higher margin compared to the other labs