Based on how much money Zitron has reported that these companies are losing on every subscription, this feels more like they're just trying to survive. In other words "ohshittification."
Brilliant coinage, if it’s yours, congrats!
My take: it is not enshittification to raise the price for a product whose demand outstrips its supply. That is basic economics. There are alternatives, it’s not a monopoly. If you think it’s the best product, then pay more for it.
Personally I would be perfectly content if the price of Max went up a bit and Pro no longer worked for CC if it meant that Max was faster and more stable.
I had a bit of an epiphany the other day thinking about these VC companies offering products to the public at unsustainable prices. It's classic anticompetitive behavior.
You imagine anticompetitive behavior to come from a monopoly because they can afford to burn money to drive competition out before they bring prices back to profitable but the whole VC burn is the same thing. People talk about it a lot without really saying it explicitly when they talk about moats. The only moat Anthropic and OpenAI have is money and they utilize it by offering products below cost.
The two companies are just trying to outlast the other one until they are the only one left.
So it's not really enshitification as much as you were previously getting the deal of a lifetime.
There are some predatory pricing laws, but they're much more narrow than most people believe. There is no law requiring things to be sold for more than it costs to produce.
I think it's funny that these topics make people angry enough to demand that we make laws to force companies to raise prices. We'll stick it to these companies by forcing them to charge us more! That will show them!
Such laws would be very bad for startups and newcomers because they'd be forced to price their new product higher than established competitors who have economies of scale. It would be a nice handout to the big companies.
This is dumping and it is international trade. Maybe you don't realize it because you're American and have internalized it as business as usual.
These companies probably need to be forced to at least try to price their products at a level that would be sustainable long term.
I think it's funny that we're getting subsidized and discounted services and this makes some people so angry that the comment section is demanding laws that would force companies to charge us more.
> It's classic anticompetitive behavior.
well, "competition is for losers" isn't it?