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The enshittification meme has been taken too seriously to the point where it is shoehorned into every single place possible.

It is not in the interests for Anthropic to screw its customer base. Running a frontier lab comes with tradeoffs between training, inference and other areas.

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It doesn't matter if it is in Anthropic's interest to screw its customer base, if their reported monthly revenue growth is accurate then it makes perfect sense why Claude would be getting dumber...

Demand is way up and compute supply is extremely limited because data center buildouts can't keep up with demand.

In the face of rising demand and insufficient compute their only practical options (other than refusing new business until demand can be met) are signicantly raising the price of tokens or doing behind the scenes inference optimizations that are likely to make the model dumber.

It is very easy to believe that they took the route of inference optimizations that have reduced quality of the service.

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The investors are their customers - not the users of the end-product.
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This shows a lack of understanding of how markets work. Investors make money when the valuation of the company increases. The valuation of the company is the best prediction of future profit risk adjusted.

How would anthropic increase future profits without satisfying customers?

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Well sure, all market signals should be considered. As a casual observer, my received signals have been indicating that AI is getting sold at a loss to get market share, and more recent signals have indicated that users are really really sensitive to both costs and performance.

The weakest signal to me is investor money, because when you think of it, investors are betting on a future that may or may not be there. Heck even trends aren't guaranteed, "past performance is no guarantee etc etc"

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Have you seen the business models for these companies? Literal underpants gnome memes. OpenAI's goes like this:

1. Build AGI

2. Use said AGI to tell us how to become profitable

3. Profit!

Anthropic seems to be going all in on enterprise sales. Which means they don't actually have to please customers, or it's what ThePrimeagen humorously calls a "yacht problem"—a problem that only needs a solution after the IPO. For now all they have to do is convince corporate leadership that this is the future of work and sow enough FOMO to close those sales contracts and their projected sales, and stock valuation, goes through the roof.

Of course that value will collapse if they go without delivering on their promises long enough. That's why they call it a bubble. But by then, hopefully, Dario and the early investors will be long gone and even richer than they were to start. Their only competitor, OpenAI, is confronted with the same issues: the scalability problems won't go away, and addressing them doesn't drive stock valuation the way promising high rollers that AGI and total workforce automation are just around the corner does.

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