this post was submitted on 06 Jan 2025
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Ed Zitron calculated from the publicly available numbers that OpenAI was spending $2.35 for every $1 of ChatGPT they sell
Is that for all operations or literally just to run the paid services? Cause if that includes the free services, marketing, R&D then they have a lot of options to cut costs.
Given what AWS/etc. charge for their LLMs/APIs it feels like the entire industry is subsidizing LLM compute to stay competitive. But I could be wrong there.