7 ms·
I don't necessarily buy that API prices represent "real" prices of the models.
by ursuscamp 2mo ago
I don't necessarily buy that API prices represent "real" prices of the models.
- xienze 2mo agoWell of course they're higher than marginal cost. But these providers have to also generate a fat return on investment.
- tempfile 2mo agoWhat do you think the real price is? Subscriptions are heavily subsidised, I don't know anyone who would deny that.
- NiloCK 2mo agoThe general model for subscriptions is that power users are subsidized by subscriptions of casual users, like a gym membership or whatever. This is a little dicier in post-agent AI, because it's easier for casual users to automate power-user consumption, but the providers have done decently in discouraging that.
- kbelder 2mo agoThere's people here saying they're obviously subsidized, there's people here saying they're obviously profitable. I think they're probably subsidized, but I would hold back on saying it's obvious.
- spwa4 2mo agoIt's probably a safe assumption that openrouter prices for Kimi K3 are "real".
- polski-g 2mo agoNot in the slightest as there are providers selling K3 for half of what OR has them listed for. (And maintaining profitability)
- toasty228 2mo agoIf they're hosted in China next to a coal power plant and maintained by people getting paid 1/10th of a US engineer sure. I doubt opanai and anthropic will go that road
- deleted 2mo ago[deleted]
- drewnick 2mo agoI moved one of our daily workflows over to Kimi K3 on Fireworks. It replaces two sales assistant positions, and was about $50/day for 14 million tokens total (in/out). They surely are not subsidizing this price as it is just inference only and other providers are even less money.
- Der_Einzige 2mo agoYes, they are ludicrously profitable - even when future training costs are taken into account!
- twister2920 2mo ago[citation needed]