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Every subscription service loses money on its heavy users. What matters is the average. Lots of people go for the higher plan because they need it once, then ne
by wongarsu 1y ago
Every subscription service loses money on its heavy users. What matters is the average. Lots of people go for the higher plan because they need it once, then never downgrade even if their regular usage doesn't justify it. And then there are all the people paying for months where they don't use it at all
Among private users willing to pay $200/month average usage is likely very high, but if Anthropic can convince companies to buy plans for entire departments average usage will be much lower on those.
Another issue is that $4000 costs is assuming the regular API is offered at cost, which is unlikely to be true.