What do you mean iffy? The major AI labs are gross profitable when selling access to inference. In addition, the best models have trillions of parameters and are most efficiently served on large, expensive clusters and served to many concurrent users.
That’s like saying an apartment building is “profitable” because the rent covers utilities while ignoring the real cost which is the mortgage on the capital cost of the building.
It’s funky math and a good way to quickly go bankrupt.
They make money on each token when you look at the electricity and interconnect fees, but no, I don’t think they’ve turned a profit on their Capex, even a little bit
Well, I can run some models that are better than some of the weaker and cheaper Anthropic models locally, like Haiku 4.5, and solve tasks that would cost ~4500$ every day in tokens, so yeah, they are definitely extremely profitable on inference.
It is unfortunate, but we're still in the early days of AV's. I think that more cities and states will be amenable to them once they have proven themselves as indispensable.
Would you mind expanding on the difference between frontier model development and open model development? I was under the impression that they were nearly the same thing and would thus be handled by the same team. My impression is that open models tend to go through more safety testing and are generally smaller, but are otherwise the same thing. Shouldn't most of what is commonly referred to as 'AI research' be applicable to both?
They do make biodegradable hot glue [1] but it's still not perfect. It's biodegradable and certified compostable under industrial conditions but it still has a polymer base. It's also not ideal for projects that are always in UV light.
