> No moat --> It's basically OpenAI, Google, and Anthropic left at the SOTA. Maybe soon, we'll have 2 left.
Yeah, but do we even need them? Non-SOTA is still pretty damn good; remember last year, pre-SOTA? How many people were boasting 10x - 100x productivity increases using the end-2025 models?
So the non-sota models support doing 10 hours of work in 1 hour. Many people would be fine with that. Fine enough that they aren't going to spring for a SOTA model that cuts the 10 hours to 0.5 hours, they're just going to use the cheap models to cut the 10 hours down to 1 hour.
Despite this, OpenAI and Anthropic and Google can't keep up with demand. That should tell you about what people want.
> Despite this, OpenAI and Anthropic and Google can't keep up with demand.
Yeah, see, if I was selling $5 for 1$, I probably wouldn't be able to keep up with demand either.
There's a reason all the mainstream token providers have been tightening the pricing screws this year.
Ok, ok, so they can't keep up with "Demand". Now lets go parse what that demand is:
Is it: We want to use this to "Kill a bunch of people"
Is it: I'm very lonely, and need something to tell me suicide is ok
Is it: Google is so filled with ads, I'm just going to ask the LLM what to buy
Is it: A useful coding tool to improve work flow towards end products.
Cause, if we ignore ethics, some of that demand will generate revenue to pay for it's existence; the others will do nothing of the sort.
Just because there's demand doesn't mean that demand equates to the value of the product. There's lots of demand for LED light bulbs, but once those light bulbs are sold, that demand disappears into the night. This isn't an analogy of AI, but to demonstrate you can't just wave your hands and say "demand leads to a sustainable business model".