Comment by Ukv

6 hours ago

Price of the current frontier may vary, but price for a given level of capability tends to drop pretty fast.

April of last year you'd get 1431 ELO[0] from o3-2025-04-16 for $8.00 per million output tokens. April of this year you can get 1436 ELO from deepseek-v4-flash for $0.2 per million output tokens.

[0]: https://huggingface.co/spaces/lmarena-ai/arena-leaderboard

Sure, but i don't think it's reasonable to hold given level of capability constant in a landscape where a give consumer of AI also has competitive pressures.

I can't use last year's SOTA model when my competitors can use the current SOTA model.

This is also baked in the eye watering valuations of model companies.

  • > I can't use last year's SOTA model when my competitors can use the current SOTA model.

    You can use open source models of equivalent or better capabilities for ~90% less cost...

    If you kick and scream hard enough, you can always find a data point to make sure you're correct.

    No one is saying that the Opus model last year costs 90% less now than it does this year.

    That's not how it works.

    There are better, more efficient models with equivalent capabilities that are 90% cheaper (see DeepSeek v4 Pro).