Re:I think Anthropic and OpenAI have found product-market fit
by skybrian on Wednesday May 27, 2026 @05:05PM
(#48300671)
Anthropic and OpenAI don't own data centers. Since they're renting GPU's, that's not depreciation. Paying rent is an operating cost.
Language models don't wear out the same way; upgrading is a choice.
Re:I think Anthropic and OpenAI have found product-market fit
by ACCount37 on Wednesday May 27, 2026 @05:27PM
(#48300980)
Not a real choice.
You can "just not update an LLM" in theory. But if your competition updates LLMs, and gets more capable, more efficient LLMs, and you don't? They get more capable "expensive tiers", and cheaper "cheap tiers" of LLMs. What are you going to do then? Bleed userbase and die?
Re:I think Anthropic and OpenAI have found product-market fit
by skybrian on Wednesday May 27, 2026 @06:36PM
(#48301698)
Sure, that's the competitive arms race aspect of it. But there's still some control over timing.
Re:I think Anthropic and OpenAI have found product-market fit
by grttq on Wednesday May 27, 2026 @06:47PM
(#48301811)
If they’ve entered into contractual agreements then actually it is debt.
Re:I think Anthropic and OpenAI have found product-market fit
by christina97 on Wednesday May 27, 2026 @05:18PM
(#48300835)
I think the key thing that depreciates is all their models. You train one at crazy cost and 6 months later it’s worth $0. If you ignore that depreciation you look much more profitable.
Those GPUs are very expensive.
Inference is expensive because a GPU can only process a certain amount of requests in a given timeframe. Remember that Anthropic is constrained in compute.
If they are constrained, it means that those GPUs are not idle. If they have more customers, they will need more GPUs.
If they have to play silly games using EBITDA to be "profitable", then it means that they need to ramp up prices a lot more than they already did.
Which is why in these discussions I always say that inference is also extremely expensive. Too many people like to pretend without any evidence that inference is cheap.