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A comment on Today's Cheap AI Services Won't Last. Parent comment

Re:Today's Cheap AI Services Won't Last by vincent_s on Friday July 05, 2024 @06:55AM (#40881705)
1. These companies have burned through billions in VC funding. Just breaking even won't be enough - they'll need significant profits to justify those investments.

2. We have at least one real-world example suggesting profitability is challenging. Microsoft is reportedly still losing money on GitHub Copilot, even after years of operation and many paying customers.

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Re:Today's Cheap AI Services Won't Last by londons_explore on Friday July 05, 2024 @01:03PM (#40884339)
> These companies have burned through billions in VC funding.

These companies, yes. But new startups will come, spend only millions, and achieve the same thing. No moat.

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