Not even a year ago people were dragging Anthropic for not committing enough to compute buildout. Important to note that most of these contracts are a decade-long, by their reporting they're able to cover this easily with their current revenue.
I actually don’t doubt the usage will be there, it’s a matter of will they be able to charge enough to cover the costs once competition gets even more brutal.
If there is that much margin to be had per GPU, the market will figure it out and suppress them accordingly
Not even a year ago people were dragging Anthropic for not committing enough to compute buildout. Important to note that most of these contracts are a decade-long, by their reporting they're able to cover this easily with their current revenue.
Is this a major concern? I can imagine them selling the excess compute to other LLM providers just as SpaceX did with Anthropic.
I actually don’t doubt the usage will be there, it’s a matter of will they be able to charge enough to cover the costs once competition gets even more brutal. If there is that much margin to be had per GPU, the market will figure it out and suppress them accordingly