Re:LLMs Are Cheap
by JimDabell on Tuesday June 10, 2025 @04:42AM
(#44234181)
> Then where's all the money going?
They are giving vast amounts of inference away as part of their free tier to gain market share. I said inference is cheap, not that it is free. Giving away a large amount of a cheap product costs money.
> you're saying the unit economics of inference are all good
Free tiers do not contradict positive unit economics.
They are giving vast amounts of inference away as part of their free tier to gain market share. I said inference is cheap, not that it is free. Giving away a large amount of a cheap product costs money.
> you're saying the unit economics of inference are all good
Free tiers do not contradict positive unit economics.