Comment by onlyrealcuzzo
5 days ago
Prices are going up for BETTER quality -> not for the SAME level of quality.
People are willing to pay more for BETTER quality.
You obviously haven't seen DeepSeek v4 Pro's pricing if you think pricing only goes up...
Maybe so, but that becomes irrelevant when you consider that the new, better quality instantly becomes the expected baseline. So the price of the "baseline" quality is going up regardless.
Let's look at GPU prices as an example. Around 12 years ago, I bought a GTX 970 for around $350. That was considered a very good GPU at the time. Today, the "equivalent" GPU model (RTX 5070) now costs almost double. Of course, the newer GPU is much more powerful (more than double, in fact), but all the things you'd use a GPU for have also advanced and now expect an entirely new level of performance as a baseline, such that the older GPU is fairly worthless today. So most people agree that GPUs in general have become more expensive.
Regarding DeepSeek's price: it's obviously subsidized, and unlikely to match the actual inference cost right now.