Edit: to the commenter below . It was widely reported that these companies were unprofitable 1 from last year. I am asking question to this specefic comment because they made a very specific claim about part of plan thats profitable . something only an insider would know.
1. https://www.wsj.com/tech/ai/openai-anthropic-profitability-e...
Once moat is achieved, you don't have to compete on price. Of course it'll be academic because the AI will probably destroy all of us.
I do hope that a day will come where you can buy the nvidia spark thingy for 5k that can run the equivalent of Opus 4.6 or 4.5 locally and that would be a massive thing.
How?
* Moores Law is almost over. The 5090 improves over the 4090 mostly because of quant improvements.
* even if the hardware improves, there’s a huge incentive to slow roll the next generation. Nobody wants to end up like Sun Microsystems. Sun’s used hardware was faster than its new hardware, once you considered price. Sun ended up competing with its own used equipment.
The most obvious place for improvement is RAM, network and storage.
If someone can bring more RAM onto the market, that will unstick things.
There is significant room to make more specialized neural network accelerators with new compute-in-memory architectures.
If the brain can run 86 billion neurons on 30W it must be possible.
There isn't one AI intelligence S curve, there are thousands of them, and they're mostly invisible in the major benchmarks, but for someone trying to do work in that specific area of capability, the progress is transformative.