The Subprime AI Crisis

Posted by ruapirate

5 Comments

  1. >I hypothesize that if OpenAI or Anthropic charged prices closer to their actual costs, there would be a ten-to-a-hundred-times increase in the price of API calls, though it’s impossible to say how much without the actual numbers.

    This is the real question imo, and without the actual numbers I don’t think there’s much more to do than speculate. I like the phrase “there’s no bad products, just bad prices”. Generative AI absolutely does have its flaws, but it’s also undeniably useful. Whether or not it succeeds in the medium term I think is just going to be a question of whether customers are willing to pay the true, and currently unknown, cost it takes to run these models

  2. This author is professional AI hater, honestly I kinda admire him for it. Every single one of his articles is him proclaiming AI as worthless and companies that invest in it are dying

  3. As just another tech wagie, I could easily justify paying $1000/month for ChatGPT for work, even more for the newer model (which I imagine is insanely expensive to run). Even if the models are slightly too expensive to run today, they’ll constantly be optimized and cheaper compute/$ hardware will be released eventually.

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