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NitpickLawyer parent
No, there are 3rd party providers that run open-weights models and they are (most likely) not bleeding money. Their prices are kind of similar, and make sense in a napkin-math kind of way (we looked into this when ordering hardware).

You are correct that some providers might reduce prices for market capture, but the alternatives are still cheap, and some are close to being competitive in quality to the API providers.


Eggpants
Starts with “No” then follows that up with “most likely”.

So in other words you don’t know the real answer but posted anyways.

NitpickLawyer OP
That most likely is for the case where they made their investment calculations wrong and they won't be able to recoup their hw costs. So I think it's safe to say there may be the outlier 3rd party provider that may lose money in the long run.

But the majority of them are serving at ~ the same price, and that matches to the raw cost + some profit if you actually look into serving those models. And those prices are still cheap.

So yeah, I stand by what I wrote, "most likely" included.

My main answer was "no, ..." because the gp post was only considering the closed providers only (oai, anthropic, goog, etc). But youc an get open-weight models pretty cheap, and they are pretty close to SotA, depending on your needs.

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