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OpenRouter Raises $120M at a $1.3B Valuation

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Re: OpenRouter Raises $120M at a $1.3B Valuation

#2
I was looking at OpenRouter earlier today, after becoming frustrated with VertexAI. Similar in that they offer a menu of many models, different in that Google is running them and OpenRouter is a proxy.

If OpenRouter is not much more than a middle man, what business model are they raising money on? Surveillance?

Re: OpenRouter Raises $120M at a $1.3B Valuation

#3
post #2

I was looking at OpenRouter earlier today, after becoming frustrated with VertexAI. Similar in that they offer a menu of many models, different in that Google is running them and OpenRouter is a proxy. If OpenRouter is not much more than a middle man, what business model are they raising money on? Surveillance?

They are a marketplace for model providers, which is quite a nice business model.

Re: OpenRouter Raises $120M at a $1.3B Valuation

#4
post #3
post #2

I was looking at OpenRouter earlier today, after becoming frustrated with VertexAI. Similar in that they offer a menu of many models, different in that Google is running them and OpenRouter is a proxy. If OpenRouter is not much more than a middle man, what business model are they raising money on? Surveillance?

They are a marketplace for model providers, which is quite a nice business model.

Being the middleman is always nice until the need is obviated. My understanding is that this is largely used to cycle through free usage tiers without getting rate-limited. Anonymous Credentials is designed to end that.

What makes this preferable to a self hosted or framework built-in version?

https://blog.dock.io/anonymous-credentials/

Re: OpenRouter Raises $120M at a $1.3B Valuation

#7
post #2

I was looking at OpenRouter earlier today, after becoming frustrated with VertexAI. Similar in that they offer a menu of many models, different in that Google is running them and OpenRouter is a proxy. If OpenRouter is not much more than a middle man, what business model are they raising money on? Surveillance?

They reduce friction to using different models and providers.

Don't want to spend 4 hours getting an API key to use Google AI? Use openrouter

Don't trust Chinese providers with your data? Use Openrouter and blacklist non-US inference providers.

Re: OpenRouter Raises $120M at a $1.3B Valuation

#8
post #4
post #3

Earlier quoted context omitted.

They are a marketplace for model providers, which is quite a nice business model.

Being the middleman is always nice until the need is obviated. My understanding is that this is largely used to cycle through free usage tiers without getting rate-limited. Anonymous Credentials is designed to end that. What makes this preferable to a self hosted or framework built-in version? https://blog.dock.io/anonymous-credentials/

Convenience. They sell very convenient shovels in a goldrush.