alt Hacker NewsI think they’re losing money because they have to amortize the costs of training the models in the first place, which is where most of the resource sink is.
This is why they were freaking out about DeepSeek just taking the trained model weights and slapping an interface on it.
Thats like saying a restaurant is profitable because they're making money selling meals if you ignore the costs of ingredients.
Of course they are profitable if you ignore their cost to bring a product to market.