Comment by simonw
6 days ago
"... as you make more your costs come down"
I'd say dropping the price of o3 by 80% due to "engineers optimizing inferencing" is a strong sign that they're doing exactly that.
6 days ago
"... as you make more your costs come down"
I'd say dropping the price of o3 by 80% due to "engineers optimizing inferencing" is a strong sign that they're doing exactly that.
You trust their PR statements?
It's not a PR statement, it's a change in price. Literally putting money where the mouth is.
Or they are trying to gobble up market share because Anthropic has been much better than OpenAI
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o3 probably used to have a HUGE profit margin on inference, so I'd say it's unclear how much optimo was done;
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Seems more likely to me then them deciding to take a sizable loss on inference by dropping prices by 80% for no reason.
Optimizing serving isn't unlikely: all of the big AI vendors keep finding new efficiencies, it's been an ongoing trend over the past two years.
This is my sense as well. You dont drop 80% on a random Tuesday based on scale, you do it with an explicit goal to get market share at the expense of $$.
> "engineers optimizing inferencing"
They finally implemented DeepSeek open source methods for fast inference?