Comment by georgeburdell
2 hours ago
No, it’s consistent with what China is doing in other markets, which is dumping product to drive others out of business.
I had a shower thought on how to counteract this, specifically related to the AI dumping. If China is losing substantial money on every token, why wouldn’t an adversary try to maliciously increase consumption? This strategy is not really viable against physical goods dumping because demand is finite and there are large environmental costs. Software demand is infinite and the environmental costs are quite low compared to the financial cost to make it, even with ultra cheap Chinese tokens
Because it's not losing money on each token? Aside from most global people using American inference providers to run the models, I suspect the cloud inference products of the Chinese labs are profitable, at least on the inference costs (ie: not including model training, salaries, etc).