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It's wild to think how efficient Internet services were prior to AI. The most expensive thing would probably have been something like encoding video. Now you've a substantial portion of a rack dedicated to a user in the case of something like fable

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Best analogue we have is probably video streaming. Or maybe more so live streaming. Unless subscription based and limited time events it seems those don't do well. Twitch has lost money for how long? And most smaller players seem propped up in other ways.

So if there is real cost involved things start to look lot worse and might not be overcome. OpenAI is unlikely to be exception for me.

But video streaming can be very profitable! Youtube and Netflix are great examples.

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