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$1500/mth is token pricing.

Your other plans are fixed price with rate limits where you get more tokens than the dollar equivalent you pay monthly. These plans are economical only if majority of users spend less tokens in $ than the plan's costs. This subsidizes the gap vs. power users who spend multiple k$ monthly in API tokens.

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> Your other plans are fixed price with rate limits where you get more tokens than the dollar equivalent you pay monthly.

Or the fixed cost plans reflect the real cost and the people paying API prices give them the profit.

Anyway, none of my customers will let me bill them $1500 more (about $75 per day) because I'm using AI. And what for? I'm not working to move money from the pockets of my customers to the pockets of AI companies.

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No, we know from the financials of these companies that API prices are close to being at cost and the individual developer plans are heavily subsidized (because they are roughly 10% of API cost per token[1]).

If plans were at cost and API pricing was marked up that would mean there’s a 90%+ profit margin on tokens and instead of raising money and talking about revenue, Anthropic and OpenAI would be talking about their obscene profits.

[1] the caveat is that the average plan user probably doesn’t use all of their quota, I guess maybe 30% is the average across all users.

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This completely ignores all the other huge costs the AI labs are paying in data center builds, researcher salaries, experiments, and training models.

The fact that Anthropic is rumoured to have a profitable quarter indicates that their margins on API priced inference are very strong.

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Next to no one would be using less than the subscription price given how expensive Opus API is.
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Yea, I’m sure the personal plans are subsidized. I have $200 Claude Max at home and straight API pricing at work and equivalent work would easily cost me 5x if not more on the API.
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I'm on a $100 Claude Max plan, my usage is only about 50% of the plan limits, but in the last 30 days my usage was equivalent to API token spend of $1850. If you save all your Claude Code conversations, the saved files include API costs and you can calculate this yourself.

One of my most expensive sessions cost me over $100 in token spend in a single evening. I'd just found out that the time tracking & invoicing SaaS I use is increasing their monthly pricing by 2.4x - so I assigned Claude Opus 4.8 to recreate the entire SaaS for myself, and load in 13 years of my historical data. I've only completed a full read-only implementation so far, with adding & editing of records still to come, but I do expect Claude will have fully recreated the entire SaaS for me at an API cost less than a single 1 year seat of continued subscription to their service. And since I'm actually on a Max plan, it didn't actually cost me $200 of tokens at all.

coff i would not buy the Bending Spoons IPO coff saaspocalypse

I could ramble on about where the other $1750 of usage goes, but I imagine it's similar for most heavy Claude / AI users. Interactive coding sessions, a daily personalized podcast, some automated overnight agentic "proactive" sessions, a daemon that wakes up if I send Claude an email or voicetext to check something when I'm out. I've also noticed that if Claude's tool-use goes haywire & Claude gets confused or lost, sometimes a single email reply session that would normally be just $1 of API might spiral to $12 of API while it bangs its head against trying to run a program that's in a different folder to the one it's currently in. Sometimes a simple 'pwd' would save you a lot of headache, Claude....

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Uber is likely on an enterprise plan - these charge tokens at API cost, which can be much more expensive than the $20 flat rate.
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