Comment by binlog
4 days ago
> The rent market on intelligence never materialized
So where is the ~$100B combined revenue for OpenAI and Anthropic coming from? Open weights models have been close enough to the frontier for over a year now, probably longer, yet the $$ shows no sign of shifting.
OpenaAI and Anthropic models are priced quite competitively with open ones, they even cut prices by quite a bit since spring. So it's not too surprising that their revenue is pretty high, the question is whether the competition and downward price pressure from open model providers combined with their extremely high R&D spending is sustainable.