Assuming he used $400,000 in tokens, but used subs
I wonder how much AI companies lost on this?
Edit: not that I’m worried about them, I’m just curious
I wonder how much AI companies lost on this?
Edit: not that I’m worried about them, I’m just curious
Probably zero, or even a profit. The idea that these companies are making a loss on subscriptions is an unsubstantiated HN fallacy.
On the contrary, they're probably making a small profit on subscriptions, or at least break even, and absolute bank on API pricing. Anthropic recently reported an 80% gross profit margin, for example.
https://www.reuters.com/business/retail-consumer/anthropic-t...
I think a clearer picture would be from inference-only orgs.
Then take the minutes you used and compare what it would’ve cost, if you paid by the minute