[flagged]
To be frank, we live in sad dark HN loser times.
AI subscriptions are a ticking time bomb for enterprise
311–320 of 426 posts
Re: AI subscriptions are a ticking time bomb for enterprise
#312Earlier quoted context omitted.
"It costs OpenAI less money to serve GPT-5.5 than GPT-4." does it though? do you have the numbers? Or you just making stuff up?
We used to not know, but now because open source models are being hosted and served by people whose only incentive is making profit on directly running inference, we have a ballpark idea.
No we have no idea that the open source inference market isn’t being kept artificially low because some of the operators are operating a loss hoping to gain market share. All it takes is a few and everyone else has to lower prices to compete while they hope for lower costs and subsidies to dry up.
We also have to assume that these operators are correctly pricing GPU depreciation, and the market is so new there is no reason to believe they are.
Re: AI subscriptions are a ticking time bomb for enterprise
#313Although I agree with the sentiment in the article, it smells very LLM~y. Especially the sections and punchlines. Such as: `That is not a rounding error. That is a line item that needs its own budget code.`
Re: AI subscriptions are a ticking time bomb for enterprise
#314Earlier quoted context omitted.
You can now buy 128 GB unified memory computers from AMD as commodity. They’re still pricey, the world is still scaling up memory production, and a lot of code isn’t yet built for AMD, but we went from the Wright’s brothers first airplane to jet engines in 27 years. I’m not sure “it’s only a few years away” but we are sure moving there fast.
> first airplane to jet engines in 27 years. Nitpick: more like 36 years, from Wright Flyer in 1903 to Heinkel 178 in 1939. Still quite impressive.
nittier pick: They said engine, not airplane: the first jet engine ran in 1907 (pulse jet). The first Turbojet engine ran in 1937.
Re: AI subscriptions are a ticking time bomb for enterprise
#315The 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 i…
> 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.
Not true. Plenty go into the graveyard. At some point in time typewriters were everywhere. So were landline phones. Both were highly integrated into the system. They were replaced by much superior versions.
> 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.
Yes but there is nothing to state that the current version of LLMs is equivalent to electric motors. We could very well be in the typewriter/landline phones stage. You would need even more iterations to get something that is equivalent to electric motors.
Even electric motors themselves underwent multiple iterations to become economically viable. Lot of wasteful overhead needed to be eliminated and parts re-engineered to make it more efficient before it could be truly adopted.
Re: AI subscriptions are a ticking time bomb for enterprise
#316[flagged]
> Tokens will get cheaper
> it costs OpenAI less money to serve GPT-5.5 than GPT-4
> Ppl don't understand how much efficiency gains are being made
I guess "ppl" also don't understand then, with all the supposed "efficiency gains" and "tokens getting cheaper" how come MS GH Copilot is switching everyone to token-based billing? Must be because those tokens are so damn cheap, innit?
Re: AI subscriptions are a ticking time bomb for enterprise
#317Re: AI subscriptions are a ticking time bomb for enterprise
#318Earlier quoted context omitted.
No, it's economies of scale and I don't understand where anyone is coming from that thinks they'll be better off buying their own hardware, why would you get a better deal on MATMULs/watt than the cloud providers ?
Within 5-10 years you're going to see a box like one of those AMD Halo nodes running homes. They'll be controlling lights and temperature, they'll be adding calendar reminders that show up on your phone and your fridge. Your phone and devices might sync pictures and videos there instead of the large cloud providers. They'll also be a media server, able to stream and multiplex whatever content you want through the hom…
It's amazing to me. You say this like it isn't an absolute horror. We've really ramped up the malignant bloat of the software industry if it goes this way.
We'll have this massive machine to do "home automation", something that by all rights should be possible with less computing than is deployed in smartwatches today. Yuck...
Re: AI subscriptions are a ticking time bomb for enterprise
#319[flagged]
> Tokens will get cheaper > it costs OpenAI less money to serve GPT-5.5 than GPT-4 > Ppl don't understand how much efficiency gains are being made I guess "ppl" also don't understand then, with all the supposed "efficiency gains" and "tokens getting cheaper" how come MS GH Copilot is switching everyone to token-based billing? Must be because those tokens are so damn cheap, innit?
I feel like they're also ignoring the increase in actual real world use costs due to reasoning. Just looking at token costs doesn't capture the whole picture.
Re: AI subscriptions are a ticking time bomb for enterprise
#320Earlier quoted context omitted.
We are discussing how rapid development has been, and now you want to freeze your model in silicon?
Genuine question from a place of ignorance: what in the silicon pipeline makes it take 2-4years to produce chips with a new model on them? Curious what the process bottleneck is.
I think that comment meant it's 2-4 years until local models are good enough that it's worthwhile to burn an ASIC of them. Not that it takes 2-4 years to make an ASIC chip.