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knightly , (edited )
@knightly@pawb.social avatar

No, they aren’t. The things LLMs are being used for aren’t significant enough to justify the costs. OpenAI is the most capital-intensive startup in Silicon Valley history and burns through almost a million bucks a day in data center operations alone. Its net income was -$540 million in 2022 and 2023 looks to be closer to losing a whole billion despite nonupling their income. They’ll need to double their revenue again without raising costs just to start breaking even.

That kind of money-bonfire never lasts long.

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