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What if the service costs more to deliver than the market is willing to pay (e.g., search engines and social media)? I think it's reasonable to have advertising
by godzillabrennus 11mo ago
What if the service costs more to deliver than the market is willing to pay (e.g., search engines and social media)? I think it's reasonable to have advertising-supported services, it just needs to be clear up front. I don't mind dropping Netflix, Hulu, or other streaming services for Blu-Ray ripping and Plex if it gets too expensive, even with ads.
- awad 11mo agoWhile totally unaware of the underlying economics, I do find it interesting how the major LLM providers found a way to get a non-trivial portion of consumers to actually pay for the consumer service. Of course, ads are still coming, but it was objectively impressive to go from 20+ years of "search is free" to "search is free, but capped, unless you pay us."
- godzillabrennus 11mo agoLLM use is not a simple search. I pay for it to either aid me or autonomously do work with document authoring, software development, and market research. It's not apples-to-apples when comparing.
- skeeter2020 11mo agoif you looked at the underlying = economics - even a quick review - you'd see that paying customers is a relatively trivial portion. This is much closer to the dotcom race to maximum eyeballs; figure out the money part later.
- pixl97 11mo ago>What if the service costs more to deliver than the market is willing to pay What if I don't have enough money to buy something and I want it anyway!