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A comment on I think Anthropic and OpenAI have found product-market fit. Parent comment

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.

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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?

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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.
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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.
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