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OpenAI dropped the price of o3 by 80%

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Re: OpenAI dropped the price of o3 by 80%

#141

Post by sndean »

jstummbillig wrote: post #80
ratedgene wrote: post #64

Earlier quoted context omitted.

That's slowly changing. I know some relatively non-tech savvy young people using things like Claude for various reasons, so people are exploring options.

Very, very slowly. OpenAI vs Anthropic on Google Trends https://trends.google.com/trends/explore?date=today%203-m&q=... ChatGPT vs Claude on Google Trends https://trends.google.com/trends/explore?date=today%203-m&q=...

I wonder how much of this is brand name? Like Kleenex. Non-tech people might not search for LLM, generative AI, etc. ChatGPT may just be what people have heard of. I’m assuming OpenAI has a large advantage over Anthropic, and the name helps, but I bet the name is exaggerating the difference here a bit. Not everyone buys Kleenex branded Kleenex.

Re: OpenAI dropped the price of o3 by 80%

#143

Post by agsqwe »

sunaookami wrote: post #19
MallocVoidstar wrote: post #8

Note that they have not actually dropped the price yet: https://x.com/OpenAIDevs/status/1932463601119637532 > We’ll post to @openaidevs once the new pricing is in full effect. In $10… 9… 8… There is also speculation that they are only dropping the input price, not the output price (which includes the reasoning tokens).

I think that was a joke. New pricing is already in place: Input: $2.00 / 1M tokens Cached input: $0.50 / 1M tokens Output: $8.00 / 1M tokens https://openai.com/api/pricing/ Now cheaper than gpt-4o and same price as gpt-4.1 (!).

thinking models produce a lot of internal output tokens making them more expensive than non-reasoning models for similar prompt and visible output lengths

Re: OpenAI dropped the price of o3 by 80%

#144

Post by el_benhameen »

lxgr wrote: post #48

Is there also a corresponding increase in weekly messages for ChatGPT Plus users with o3? In my experience, o4-mini and o4-mini-high are far behind o3 in utility, but since I’m rate-limited for the latter, I end up primarily using the former, which has kind of reinforced the perception that OpenAI’s thinking models are behind the competition altogether.

My usage has also reflected the pretty heavy rate limits on o3. I find o4-mini-high to be quite good, but I agree that I would much rather use o3. Hoping this means an increase in the limits.

Re: OpenAI dropped the price of o3 by 80%

#145

Post by __mharrison__ »

SparkyMcUnicorn wrote: post #104
resters wrote: post #88

Earlier quoted context omitted.

It's probably optimized in some way, but if the optimizations degrade performance, let's hope it is reflected in various benchmarks. One alternative hypothesis is that it's the same model, but in the early days they make it think "harder" and run a meta-process to collect training data for reinforcement learning for use on future models.

It's a bit dated now, but it would be cool if people submitted PRs for this one: https://aider.chat/docs/leaderboards/by-release-date.html

Dated? This was updated yesterday https://aider.chat/docs/leaderboards/

Re: OpenAI dropped the price of o3 by 80%

#146

Post by __mharrison__ »

SparkyMcUnicorn wrote: post #110
esafak wrote: post #12

Earlier quoted context omitted.

Are there any benchmarks that track historical performance?

Aider has one, but it hasn't been updated in months. People kept claiming models were getting worse, but the results proved that they weren't.

Updated yesterday... https://aider.chat/docs/leaderboards/

Re: OpenAI dropped the price of o3 by 80%

#147

Post by scudsworth »

simonw wrote: post #139
madebywelch wrote: post #118

They could drop the price 100% and I still wouldn't use it, so long as they're retaining my data.

Sounds like you want their Zero Data Retention plan: https://platform.openai.com/docs/guides/your-data#zero-data-... (It's "contact us" pricing, so I have no idea how much that would set you back. I'm guessing it's not cheap.)

it doesn't seem like this would supercede a court order

Re: OpenAI dropped the price of o3 by 80%

#148

Post by therealdrag0 »

coffeecoders wrote: post #51

Despite the popular take that LLMs have no moat and are burning cash, I find OpenAI's situation really promising. Just yesterday, they reported an annualized revenue run rate of 10B. Their last funding round in March valued them at 300B. Despite losing 5B last year, they are growing really fast - 30x revenue with over 500M active users. It reminds me a lot of Uber in its earlier years—fast growth, heavy investment, b…

As an anecdote they have first mover advantage on me. I pay monthly but mostly because it’s good enough and I can’t be bothered to try a bunch out and switch. But if the dust settles and prices drop i would be motivated to switch. How much that matters maybe depends if their revenue comes from app users or API plans. And first mover only works once. Now they maybe coasting on name recognition, but otherwise new users maybe load balanced among all the options.

Re: OpenAI dropped the price of o3 by 80%

#149

Post by dist-epoch »

hyperknot wrote: post #128
behnamoh wrote: post #10

how do we know it's not a quantized version of o3? what's stopping these firms from announcing the full model to perform well on the benchmarks and then gradually quantizing it (first at Q8 so no one notices, then Q6, then Q4, ...). I have a suspicion that's how they were able to get gpt-4-turbo so fast. In practice, I found it inferior to the original GPT-4 but the company probably benchmaxxed the hell out of the tu…

I got 700+ tokens/sec on o3 after the announcement, I suspect it's very much a quantized version. https://x.com/hyperknot/status/1932476190608036243

Or maybe they just brought online much faster much cheaper hardware.
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