It tells you that 500 million people will be paying $60-$80/mo for AI. Something they find as indispensable as a cell phone or internet bill.
The numbers actually work really well, (un)fortunately.
It tells you that 500 million people will be paying $60-$80/mo for AI. Something they find as indispensable as a cell phone or internet bill.
The numbers actually work really well, (un)fortunately.
fair enough, but the consumer is already stretched. So where is this $60-80 per month X 500MM consumers coming from?
Consumer spending is strong and growing, don't listen to dregs milking upvotes on the internet, people will easily come up with 4-5 hours of minimum wage pay in a month to cover the cost of the thing they use many times a day.
I don't use AI for anything in my private life, only at work. And I can't really imagine what it could do for me. In no scenario am I paying a monthly subscription for it.
I don't know how you can write down those numbers and come to the conclusion they sound reasonable at all. Corporations literally can't give this trash away for free without consumers being unhappy about it (eg. the Copilot malware infesting every aspect of Windows). ChatGPT had 800m MAU at one report, but that's a chat interface and free. Do you really believe over half of those users are going to convert from "free" to paying $60/mo for access to the chat interface, when all potential applications for actually improving their lives are failing badly? I think you are out of touch with the finances of non-tech-indsutry workers if you think they will.
I don't know a single person in my (non-tech!) life that doesn't use AI, shy of toddlers and geriatric people.
The famous MIT study (95% of AI initiatives fail, remember that one?) actually found that pretty much every worker was using AI almost daily, but used their personal accounts (hence the corporate ones not being used).
If you are brand new to the tech world, and this is your first new product cycle, the way it works is that there is a free-cool-we're-awesomely-generous phase, and then when you are hooked and they are entrenched, the real price comes to fruition. See...pretty much every tech start-up burning runway cash.
Right now they are getting us hooked, and like the dumbasses consumers are, they will become totally dependent and think it will stay this cheap.
> I don't know how you can write down those numbers and come to the conclusion they sound reasonable at all.
Half this board is in the most hyped echo chamber I’ve ever seen.
> ChatGPT had 800m MAU at one report, but that's a chat interface and free. Do you really believe over half of those users are going to convert from "free" to paying $60/mo for access to the chat
Even if these things worked great for everyone, the percent of free uses who convert to paid users is low single digits per cent. For OpenAI to have any chance of breaking even in the consumer space, they need to develop an ad biz that makes around 20-25% of G does. That's a tall order in that G doesn't make good dough from search anymore as SERP page clicks are down 80% with AI summaries being good enough for most.