Comment by Imustaskforhelp
21 hours ago
Regarding point (2), My brother told me that openai had some exclusive contracts with companies where they could only use openai api and I don't think that they would really switch now, because I think switching would be hard.
Regarding point (1), OpenAI created 2 amazing trends which (though I hate OpenAI, Should be called ClosedAI) took internet by wild
First when chatgpt 3 was launched
And now when image ability of chatgpt was launched with the ghibli trend.
So Honestly, I had seen so many comments on r/localllama saying that openai has become just an infrastructure company or something and then openai dropped the new image update and now they are commenting about local ai's by pasting images generated by that new chatgpt ...
I am not sure but see, google makes most of its money using advertising & data basically.
I wouldn't be surprised if we started seeing sudden shifts of AI or started getting ads in AI somehow too.., because people trust AI and its a landmine of money really...
So OpenAI's 27x evaluation without any thought of ads or some data selling isn't that bad because they still got some nice engineers. The only Disgrace is the fact that they went from a non profit to an american psycho esque corporation saying "well OUR AI will take over jobs, but it was good for the shareholders in the short term though"
Do they have exclusive APIs? I thought more or less everyone had the same interface and switching might be almost as easy as changing the endpoint.
Given how many players are in this space, I am incredibly dubious that anyone will win. Market is going to be sliced between multiple big companies who are going to be increasingly squeezed on margin. Unless someone can produce some magic that is 10x more reliable, consumers are going to price compare. Today, all of the options can occasionally produce brain dead output -why pay a premium?
Especially bad for OpenAI, because they have no fallback revenue. Microsoft and Google can subside their offerings forever to eliminate competition.