3 ms·
Revenue isn't profit
by __loam 11mo ago
Revenue isn't profit
- energy123 11mo agoA distinction that matters if the unit economics are bad, which nobody has full visibility over.
- epistasis 11mo agoNo matter the unit economics, commoditization and advancement of open models and small startups means that there is at almost a year or two to exploit competitive advantage. If scaling stops, the window to make a profit is extremely narrow.
- energy123 11mo agoWhich is an issue with unit economics.
- mvkel 11mo agoOpen models serve as a safeguard, not a competitor, to closed models. They still cost billions to pre-train
- epistasis 11mo agoTraining costs will come down, at a tremendous pace. They cost billions to train right now because people are willing to throw billions away to get to the goal first. Given more time, cheaper and more clever training methods will be found.
- Analemma_ 11mo agoGoogle made $35 billion in profit last quarter.
- mvkel 11mo agoCountless examples of a lack of profit not spelling the doom of a company (uber, amazon, tesla). Countless examples of companies that strive for profit too early, only to die