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ChatGPT could cost over $700k per day to operate

businessinsider.com

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Re: ChatGPT could cost over $700k per day to operate

#5
Isn't Microsoft too late to the chip game? Both their competitors AWS and GCP have their own ML training chips, while Azure has nothing. The article seems like they may have something by next year, but by that time the competition would have evolved even more. Nadella has executed on strategy brilliantly but on the cloud seems it seems like the tech innovation is a bit lagging. It hasn't mattered that much so far though due to how entrenched the MS stack is in the enterprise.

Re: ChatGPT could cost over $700k per day to operate

#8

Isn't Microsoft too late to the chip game? Both their competitors AWS and GCP have their own ML training chips, while Azure has nothing. The article seems like they may have something by next year, but by that time the competition would have evolved even more. Nadella has executed on strategy brilliantly but on the cloud seems it seems like the tech innovation is a bit lagging. It hasn't mattered that much so far tho…

Microsoft reportedly working on its own AI chips that may rival Nvidia’s https://www.theverge.com/2023/4/18/23687912/microsoft-athena...

Re: ChatGPT could cost over $700k per day to operate

#9
Interesting numbers. That roughly equates to about $250 million per year plus I don't know how much training is costing them to keep the model up to date and suchlike.

The company also has about 375 employees. I've no idea how much they get paid but I used $200k as a yearly cost and that comes to $75 million.

That's about 3:1 cost of operating the services to paying employees. That seems quite high as I've never been at a company that had 1:1 costs for running servers vs employee costs but I could entirely be off base here.

Given Sam Altman's recent comments on the days of these LLM being over I think maybe Microsoft or whomever is basically saying that they can't spend that much money and they need to control costs much more heavily.

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