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I assume this has to do with the $20 tier now running out of provisioned tokens so quickly as to be not particularly useful, giving users a bad experience. The
by colechristensen 6mo ago
I assume this has to do with the $20 tier now running out of provisioned tokens so quickly as to be not particularly useful, giving users a bad experience.
The million token context + reduced caching period + new models using more tokens made this a probably unpopular but perhaps unavoidable development.
There's a hard problem here balancing costs and experience. I'm afraid despite the bad experience for people that this is necessary and $20/month was just too big a loss to sustain.
- Esophagus4 6mo ago> $20/month was just too big a loss to sustain. Is there any marginal cost associated with a new subscriber? I have always heard inference is cheap and the cost was in training, so I assumed any subscriber was making them money, just not enough to cover their insane fixed costs. But I am just guessing.
- colechristensen 6mo agoThere are two extremes, the "approx 0 marginal cost" camp and the "anthropic losing $5000/mo on every Max subscriber" camp. I strongly suspect both are wrong.