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FuriouslyAdrifttoday at 7:06 PM2 repliesview on HN

I work for a tiny little company ($150MM annual rev with 9% net) and we are already looking at dropping $100k on hardware to run local models because, for us, they're "good enough."

Our estimated spend for AIaaS would exceed that cost in less than a year.

In a few years, there will be hardware capable of running frontier models good enough for most things at accessible prices for even tiny companies.


Replies

alex_suzukitoday at 7:15 PM

I’m curious: are you spending on beefy developer machines, or some kind of shared local inference server? Would be interested to know more if it’s the latter.

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EvanAndersontoday at 7:11 PM

> ...we are already looking at dropping $100k on hardware to run local models...

Just think how much further that $100K would have gone if the hardware market wasn't so screwed-up.

Anecdote: I priced-out adding 1TB of RAM to a four node cluster a couple months ago. The cluster was purchased in fall of 2024 w/ 4 nodes, each with 256GB RAM. The nodes cost just over $14K apiece back in 2024 (entire box, not just the RAM).

Dell wanted >$90K a couple months ago to add 256GB to each node.

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