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…
I'm not familiar with Sam's comments re: "days of these LLMs being over" - can you provide more context (or link)?
He sees size as a false measurement of model quality and compares it to the chip speed races we used to see. “I think there’s been way too much focus on parameter count, maybe parameter count will trend up for sure. But this reminds me a lot of the gigahertz race in chips in the 1990s and 2000s, where everybody was trying to point to a big number,” Altman said.
As he points out, today we have much more powerful chips running our iPhones, yet we have no idea for the most part how fast they are, only that they do the job well. “I think it’s important that what we keep the focus on is rapidly increasing capability. And if there’s some reason that parameter count should decrease over time, or we should have multiple models working together, each of which are smaller, we would do that. What we want to deliver to the world is the most capable and useful and safe models. We are not here to jerk ourselves off about parameter count,” he said."
via https://techcrunch.com/2023/04/14/sam-altman-size-of-llms-wo...