alt Hacker NewsThe other way of looking at this is that all the customers paying API rates are giving Anthropic way more than the cost of serving their traffic. They reported an 85% gross margin in their S-1, so this clearly seems to be the case.
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Tanjreeve • yesterday at 11:55 PM
API is definitely holding things up. But they excluded the training from those profit calculations. There's a ton of wordplay indulged online about how that's capex etc etc. But without the training they don't have the thing to run inference on so it's very fitting with the pattern of being evasive with finances.
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Okay but even with a 85% margin the true cost for 30 minutes of usage would be $2.25. At that cost $34 should last only 7.5 hours. I would imagine the average user uses more than that?