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Advancing the price-performance frontier with GPT‑5.6

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Re: Advancing the price-performance frontier with GPT‑5.6

#21
post #14

> Starting today, GPT‑5.6 Luna, our fastest and most affordable model, will cost 80% less, I don't have the words. I genuinely thought we were in a stage where we were plateauing and going in for 5-10% improvements over months. Seeing spikes like this makes me question about where the floor really is.

They over purchased hardware.

This is very likely priced below recovering the cost of the hardware but still above operating expenses.

Re: Advancing the price-performance frontier with GPT‑5.6

#22
post #7
post #3

> The kernel work helped reduce the end-to-end cost of serving the model by 20%, while its experiments increased token-generation efficiency by more than 15%. If the cost of serving GPT-5.6 just dropped by 20%, does that add up to literally billions of dollars in savings per month? We know Anthropic spend $1.25 billion renting inference capacity from SpaceX (in two Colossus datacenters) from the SpaceX IPO, but we do…

imagine writing that on your resume > reduced inference cost by 20 percent saving company x billion dollars per month

Contributed to. Can't be some IC who made a few nice PRs

Re: Advancing the price-performance frontier with GPT‑5.6

#24
post #14

> Starting today, GPT‑5.6 Luna, our fastest and most affordable model, will cost 80% less, I don't have the words. I genuinely thought we were in a stage where we were plateauing and going in for 5-10% improvements over months. Seeing spikes like this makes me question about where the floor really is.

To be fair we don't really know in terms of prices what's real and what's just investor subsidised attempts at market capture at this point. It could well be OpenAI's attempt to drown Anthropic while they've got the halo product if they feel they've got deeper pockets.

Re: Advancing the price-performance frontier with GPT‑5.6

#26
post #14

> Starting today, GPT‑5.6 Luna, our fastest and most affordable model, will cost 80% less, I don't have the words. I genuinely thought we were in a stage where we were plateauing and going in for 5-10% improvements over months. Seeing spikes like this makes me question about where the floor really is.

This is gonna put Sonnet 5 in a really awkward spot.

Re: Advancing the price-performance frontier with GPT‑5.6

#27

Model segmentation & distillation like this that asks the consumers to pick exactly which version of the algorithm will solve their problem is evidence for lack of intelligence instead of its presence.

You really really don’t need to pick. Just use Sol on high. That’s my daily driver and I don’t touch the model picker at all.

Now, if cost is your concern, then that’s a problem in all of computing. Hence why I’m sending you short plain text messages using an iPhone with a many-core CPU and gigabytes of RAM.

Re: Advancing the price-performance frontier with GPT‑5.6

#28
post #15
post #7

Earlier quoted context omitted.

imagine writing that on your resume > reduced inference cost by 20 percent saving company x billion dollars per month

In this case, and I don't mean this critically, I guess it would technically be, "Instructed model to find efficiencies... reducing inference cost by 20% saving company x billion dollars per month." I have no doubt that further work was required to enable this, but it's still very cool to be possible to say that.

Does the model get the credit for its promo packet then? :^)

Re: Advancing the price-performance frontier with GPT‑5.6

#29
post #14

> Starting today, GPT‑5.6 Luna, our fastest and most affordable model, will cost 80% less, I don't have the words. I genuinely thought we were in a stage where we were plateauing and going in for 5-10% improvements over months. Seeing spikes like this makes me question about where the floor really is.

To be fair we don't really know in terms of prices what's real and what's just investor subsidised attempts at market capture at this point. It could well be OpenAI's attempt to drown Anthropic while they've got the halo product if they feel they've got deeper pockets.

We can guess based on the decisions of other inference providers who serve these models.
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