4,077 karma · joined February 16, 2014
Website: http://jonnor.com https://github.com/jonnor/
Right now the frontier AI companies are explicitly running a kind of chicken race - increasing the burn rates so much that it gets harder and harder. With the hopes that they (and not their competitor) will be the one left standing. Especially OpenAI and Antropic, but non-AI companies like Oracle have also joined. If they keep it going, the likely outcome is that one of them folds - and the other(s) reap the rewards.
Utility (per cost) will go up the tougher the competition. Money captured by single entity possibly down with increased competition.
EDIT: also, the casual or gym-style members that pay every month but barely use the service are of course very valuable wrt margins
Examples: - Agency / software house, sells consulting, makes open source libraries in their niche. - Hardware/product vendor, sells devices, open software on the device. - SaaS vendor for IoT, sells say managed database service, gives away reference software/hardware designs for IoT devices.
This concept is easy in principle, but requires there to be two things which have very strong synergy, and one needs to execute well in both.
It is really hard to actually make anything substantial on social media exposure. Unfortunately this does not stop many from exaggerating claims in order to (maybe become) be internet famous, or seeing high number of clicks etc. So it is both bad business for creators, and poisoning the discourse for readers - the only real winners are the social media companies and the product companies that get hyped up.