← Back to context

Comment by infecto

15 hours ago

It is not a premium service, it simply is buying you more tokens. Those $200 gives you at least $400 in API cost tokens.

Don't confused price with "premium service". It was not that long ago that folks would be spending $100-200 on their cable service bundle. You are buying a subsidized product when using the plan and the more you spend the more tokens you get, has nothing to do with being a premium service.

5 comments

infecto

Reply
everforward  2 hours ago

This is a messaging issue on their part, which I think is partially intentional.

It’s not unreasonable for people to expect the most expensive subscription plan to be “premium”. That’s how it works everywhere else. They typically have better margins on the premium plans, and the monthly payment gives them reliable cash flow at that higher margin.

You’re right that that’s not true at Anthropic (or really most AI providers). You’re not even really buying tokens because you get billed whether you use it or not, the tokens don’t carry over like buying API tokens, and they get to dictate what an acceptable way to use those tokens is. They are cheaper though, assuming you actually use them. Which Anthropic et al would really prefer you didn’t.

Dylan16807  13 hours ago

> It is not a premium service, it simply is buying you more tokens.

The cheap plans are usually semi-unlimited the same way but not as powerful. This isn't simply a matter of buying more tokens.

> It was not that long ago that folks would be spending $100-200 on their cable service bundle.

Compared to OTA that's premium, but more relevantly if most cable buyers are getting a hypothetical $10 bundle then the $100 one is a premium bundle.

  • infecto  12 hours ago

    Sorry still not sure what you’re going on about . The majority of LLM plans are simply a token purchase. The $200 account buys you nothing but tokens. It’s not a premium service, it’s simply more tokens. This is true for most of the companies out there.

    The original comment was they are paying for a premium service. No they are paying for more tokens. You lot going on and on arguing over some small hill.