If that inference becomes popular and valuable enough that those companies make billions of dollars in profit, those companies could use that profit to fund the building of alternative products and platforms that dis-intermediate google's relationship with the customer.
Google already has an 80% gross margin business, the biggest one in the world. Everybody wants a slice of it.
By offering frontier inference closer to cost and open-sourcing everything that's sub-frontier, they're commoditizing frontier labs' models, which inhibits their ability to durably make high gross margins on inference.
It's a strategic play.
> By offering frontier inference closer to cost *and* open-sourcing everything that's sub-frontier
It's two prongs! One prong is that their frontier inference pricing is significantly cheaper/closer-to-at-cost as Anthropic's.
The subject of this thread is the other prong: offering compelling models that are sub-frontier and self-hostable.
Self-hosting models and at-cost frontier models are the high-end and low-end disruptions, respectively, to Ant/OAI/etc.'s business models.
They need one more than ever now.
This is ridiculously anti-competitive.
2. Every time you search for Claude or ChatGPT, you get presented with an AdWords bidding war.
3. Google is deploying its models in Search, Docs/Drive/Office, YouTube, Chrome, ...
2. I'm not sure what this has to do with the case, unless you're arguing Google has an ads monopoly, in which case the best argument would likely not be that adwords lead to bidding wars because that just sounds like they're selling a product people really want to pay for
3. There's nothing criminal about being a very diversified business
Basically with upcoming spark laptops, the smaller models will likely get fine tuned to interface with google services. Then, Google can essentially make Chromebook software include those models, which is the same use case as android.
And you better believe that they will be collecting user data and building advertising models.
That's my experience right now... my company is all in on a plethora of platform products. Also, Microsoft just yesterday said their goal was "Unmetered intelligence". There's a lot of things that can be enabled by small local models, and those things are part of stacks that can generate revenue in other layers.
Of course it is...
This is Windows-Licensing-Level Money Opportunity 2.0.
And Google releases another free local model. As did Microsoft.
The actual facts of the day belie your snort take. At least a little bit.
So it's easier to just release those models as open source and make it official, since someone would inevitably hack the weights out anyway.
Companies don't commonly give away executable binaries "just because", why'd they start now for these binary blobs that are the models?
Not that I'm unhappy about it! Yay for open data any day, I'm just not understanding why, at least beyond PR in nerd circles
Are you sure that isn't about LLMs' outputs? There I know there have been some court cases that say this, but the model itself is a work created in intricate and somewhat creative ways (I hesitate to use the word "creative" here, but would similarly hesitate to label a routine picture of the moon creative whereas pictures basically always have copyright; the bar for creativity is basically an epsilon amount above zero, afaik)
They could lock them down legally which would prevent commercial use, but they choose not to, and they boast about how many tens of millions of times Gemma models have been downloaded by developers.
So there must be more to the rationale than just local model weights getting hacked out of devices.
The question is: do you want to release your models, or use them purely for R&D?
Since everyone else is already releasing models of similar qualities, it's hard to say you're shooting yourself in the foot if you join the chorus.
The added cannibalization of releasing them is effectively zero, so the reputational benefits are likely to be worth it.
Nobody would be looking at Qwen if their ~30b class models weren't fantastically good, it's great advertising and builds significant goodwill with developers, who are going to be your biggest advocates.
The other thing is, all these models are already disposable grade, and in a year they'll all be outclassed by The Next Big Thing. "Open" models are less than 18 months behind SOTA right now and I can't imagine that will slow down much over the next two years, they may even begin to close the gap. Nobody even talks about llama 4 anymore despite only being a year old.
They rise with the tide of AI adoption. But they gain ground if people opt into Google solutions. And any token sent to a Google model (free or paid) actively punishes their competitors that are then required to spend vast sums to remain bleeding edge.
So perhaps another part is just Google showing that they can indeed play at the big boys table.
Here’s a real example.
I’m in a design meeting talking about a model use case. We have a question about the data pipeline or the prompt format that would benefit from knowing about how the model was trained. The enterprise team lead calls the dev tech engineer from the company who produced the model. He is already in the office and walks into the meeting to answer the question.
We saw great results in our usecase using google direct. Moved to Openrouter because google wouldn't let us use it beyond a test.
Then Openrouters performance looked worse, not sure if there was a quantized version or something. So we instead looked at Deepseek v4 Flash, and opted to go for that.
This model would probably be great for a super low cost cloud model, would love to use it in the cloud, Google makes you go elsewhere.
They remind me a bit of HuggingFace, create something great then make money … maybe.
I'm pretty sure they are doing it because they get some research experience by shrinking and improving these models, and because they know that by doing this they get some good PR among the dev community.
Plus every open model undermines their local competition by furthering open research and reduces moats, especially since Gemini as a frontier model isn't really competitive with GPT nor Claude for most applications.
Eventually the local model is not enough, and you'll upgrade to the big ones.