For example, you could least feel that the world is large enough to have people with other needs, drives and ownership levels of their work.
You could also consider that this is not an even trade; artists had all their works ingested and didn’t get a commensurate stake in openAI.
You can consider that you had a choice to share when you contributed to open source. Then imagine how a counter culture artist, who despises corporate culture, must feel to have their work consumed by another rapacious tech entity.
Or you can be the filmmaker whose clients are now showing up with entire ad clips, and then decide they would rather not spend the money on CGI to complete the video - essentially demolishing work overnight.
This isn’t to say that there are not artists who are excited by this, or artist who are happy to have their art ingested. Just that the way you phrased your question evoked this answer.
It looks like a “People respond to incentives (prices)” situation.
If something is cheaper than alternatives, spending patterns change. People subsidize corn or power and so consumers alter behavior to take advantage of those prices.
It makes me wonder if I have been living under a rock, because I have never heard of frontier labs making money. AFAIK all AI firms are simply burning money to acquire customers at this stage. Is this wrong?
>It makes me wonder if I have been living under a rock, because I have never heard of frontier labs making money.
You're confusing the profit from the marginal token and overall profit (basically gross margin and operating margin). The comment you're replying to is calculating that AI labs are probably making a substantial profit per paid token. It's just that so far that profit has not been able to overcome the ongoing R&D and capex costs.
People tend to believe OpenAI and Anthropic can make money any time, the only thing they need to do is to stop training newer/better models. Source? Sam & Dario, of course (trust us, bro). It may (if they sell access at API price) or may not be true, but the scenario where training is stopped is simply unrealistic at this point.
I’m not exactly sure of the details but I believe they do make _some_ money on inference. But they then have to reinvest it all into training of the next model to stay competitive. So even if inference is positive (I’m seeing inconsistent reported data if that’s the case or not), it is directly spent.
I do not understand how the companies can end up in positive, unless something fundamental changes
What is this comment? Yes, society curtails behaviors?
We wear helmets and seatbelts?
Insurance is entirely about paying a small amount so that the costs of being on the wrong side of bad luck doesn’t pauper your citizenry. A single payer system wildly reduces the amount that has to be paid, while increasing service outcomes since now you can negotiate with drug companies.
I would happily pay for that kind of system as well, because I am happy to ensure that the rest of the nation is better off.
But… wait… what? Based on you what you say… why do you put money into an insurance system? It sounds like you want to make the most rational choice, but you are working off of a model of insurance that doesn’t make sense.
The maximally effective version, with the least cost, and greatest coverage is one that distributes costs across the largest pool of individuals. Which is a single payer system.
I put money into an insurance system to diffuse risk away from myself.
> The maximally effective version, with the least cost, and greatest coverage
It would be even more effective to just enslave a bunch of people and force them to pay for my healthcare, but I don’t advocate for that because it’s immoral and unfair.
thats one wrong way to interpret it, yes. The right way is a government choosing criteria to determine how much it should interfere in your personal choices and in that context net cost to the government is a reasonable metric to consider, although not the only metric
For example, you could least feel that the world is large enough to have people with other needs, drives and ownership levels of their work.
You could also consider that this is not an even trade; artists had all their works ingested and didn’t get a commensurate stake in openAI.
You can consider that you had a choice to share when you contributed to open source. Then imagine how a counter culture artist, who despises corporate culture, must feel to have their work consumed by another rapacious tech entity.
Or you can be the filmmaker whose clients are now showing up with entire ad clips, and then decide they would rather not spend the money on CGI to complete the video - essentially demolishing work overnight.
This isn’t to say that there are not artists who are excited by this, or artist who are happy to have their art ingested. Just that the way you phrased your question evoked this answer.
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