Comment by elzbardico
12 days ago
But then you pay for the less outrageously subsidized rates of API instead of the a bit less incredibly generous prices of the subscription.
12 days ago
But then you pay for the less outrageously subsidized rates of API instead of the a bit less incredibly generous prices of the subscription.
Its not subsidized, in fact, they probably have very healthy margins on Claude Code.
Yeah. If you ignore the negligible fact that some investor may want a return on all that money that is going into capex I am pretty sure you can, Enron style, get to the conclusion that any of those companies have “healthy” margins.
Why do you think that?
DeepSeek had a theoretical profit margin of 545 % [1] with much inferior GPUs at 1/60th the API price.
Anthropic's Opus 4.6 is a bit bigger, but they'd have to be insanely incompetent to not make a profit on inference.
[1] https://github.com/deepseek-ai/open-infra-index/blob/main/20...
12 replies →
Because if you don't then current valuations are a bublle propped inflated by burning a mountain of cash.
2 replies →