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AI subscriptions are a ticking time bomb for enterprise

thestateofbrand.com

191–200 of 426 posts

Re: AI subscriptions are a ticking time bomb for enterprise

#191

If it’s replacing developers it makes sense to cost more than 20 or 100 per month. The real issue for these llm companies is that they are yet to show value in other areas. Without that they will be relegated to just coding. That is the rush right now for them. What other workflows can they automate. I guess every paperwork can be automated. Once the other areas are developed they will switch the pricing model

They are kinda trying to replace figma. That could be valuable.

Re: AI subscriptions are a ticking time bomb for enterprise

#192
post #167

Earlier quoted context omitted.

Local modals are 6 months to 18 months behind frontier. Even if the performance of a cloud model is faster, it's clear that local is catching up.

> Local modals are 6 months to 18 months behind frontier. I wish this was true but it is not. And I am working on open source models so if anything, I would have a bias towards agreeing with you. Frontier closed models (GPT/Claude) are gaining distance to everybody else. Even Google, once the king. Your claim is a meme coming from benchmark results and sadly a lot of models are benchmaxxed. Llama 4, and most notably…

Kimi k2.6 is about on par with GPT 5.2 so I’d say open weight models are about 6 months behind.

Re: AI subscriptions are a ticking time bomb for enterprise

#193

Earlier quoted context omitted.

We are discussing how rapid development has been, and now you want to freeze your model in silicon?

Why not have a bunch of SRAM and various operations like "Q4 matmul" in silicon? Model weights and even architectures could still evolve on a platform like that.

[deleted]

Re: AI subscriptions are a ticking time bomb for enterprise

#194

Earlier quoted context omitted.

> I seriously doubt it. Scaling is already strained (don't buy into the "exponential" hype). And, in any case, the competition will be against the frontier models that will exist in two years. The big question I'd be asking if I was investing in one of the big players is if those changes are "it can do 99% instead of 97% of the tasks a user will throw at it" (at which point going local and taking back cost control/ow…

Exactly the right argument. Local LLM doesn’t need to outrun the bear (outperform data centers) it only needs to outrun its friend (total cost of ownership).

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Re: AI subscriptions are a ticking time bomb for enterprise

#195
post #79

Every AI subscription is a ticking time bomb for the frontier provider; within a few years we will be running local models as good as today’s frontier models with almost no cost burden. The floor will fall out of the enterprise market for all the frontier companies.

People who are this certain of their predictions should be forced to put real money on them on Kalshi or Polymarket instead of drive-by blowharding on HN.

Meh, having opinioms should imply necessity to gamble on gambling site.

Not even when that site calls itself "market" to create plausible deniality.

Re: AI subscriptions are a ticking time bomb for enterprise

#196

Earlier quoted context omitted.

They are available. Seats for team or enterprise plans cost more than the retail prices, but they are fixed prices with resetting usage limits. You can assign seats to members that are the equivalent of $20/$100/$200/mo plans. You can also do everything metered. There are multiple ways to buy.

Who is selling these with enterprise trappings? What you're describing evaporated 2+ months ago. Everything is metered for enterprise users now. If there happens to be a stray vendor offering this I'd wager 2 things. 1) it's about to be phased out. 2) model limits will be in place so even that $200 plan won't go very far.

Are we talking about the same thing? I just double-checked Anthropic still offers per-seat plans. So does OpenAI though they split the Codex-only plan away from per-seat. Gemini does as well. There’s pooled usage over certain limits but it’s still a good deal to upgrade the seat of a heavy user.

What happened two months ago?

Re: AI subscriptions are a ticking time bomb for enterprise

#197
post #167

Earlier quoted context omitted.

Local modals are 6 months to 18 months behind frontier. Even if the performance of a cloud model is faster, it's clear that local is catching up.

> Local modals are 6 months to 18 months behind frontier. I wish this was true but it is not. And I am working on open source models so if anything, I would have a bias towards agreeing with you. Frontier closed models (GPT/Claude) are gaining distance to everybody else. Even Google, once the king. Your claim is a meme coming from benchmark results and sadly a lot of models are benchmaxxed. Llama 4, and most notably…

The Chinese models should stay close on a lag. They’re doing a ton of distillation that, realistically, I’m not sure the American frontiers can stop.

Re: AI subscriptions are a ticking time bomb for enterprise

#199

Does this article contain any original thought? It's clearly llm-spew in its mannersims, making me wonder if there were any nuggets of wisdom in its core or if it in entirety is part of some llm-driven blog spam project?

No and yes.

Re: AI subscriptions are a ticking time bomb for enterprise

#200

The entire problem with "AI" is that it's easy to do without. The AI companies know it, the users know it - even the most pro AI agent manager knows it. Thought experiment: remove AI from the world right now, all of it - what do you have? Business as usual. This article doesn't do enough to underscore that - dreaded be the day I need to get an actual engineer to review a PR, right?

Isn't that always the case in the early stages of new technology adoption? It becomes less and less true as the new technology becomes more and more integrated.

In the first few years after electric motors became a thing, one could have said the same thing. We would have just gone back to steam. If you tried to "do without them" now, society would collapse.

So the question is not if we can do without them now, it's if we can do without them in 5 to 10 years (or however long it takes for them to be fully integrated)

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