They’re also starting to charge more for the BIG ASS models.
The amount of times these things have to regenerate code to get it to work properly during the SOTA “agentic” operations, you can burn through your token allotment and get throttled super quickly.
Google did something similar. They made search worse on purpose so people would do more searches and see more ads, boosting revenue.
But yeah, diminishing returns means investor money drying up means squeezing customers and hoping all that putting AI into everything translates to lots of paying customers.
They had one trick: scaling. And that trick is getting diminishing returns.
They’re also starting to charge more for the BIG ASS models.
The amount of times these things have to regenerate code to get it to work properly during the SOTA “agentic” operations, you can burn through your token allotment and get throttled super quickly.
Google did something similar. They made search worse on purpose so people would do more searches and see more ads, boosting revenue.
But yeah, diminishing returns means investor money drying up means squeezing customers and hoping all that putting AI into everything translates to lots of paying customers.
and they would have gotten away with it, if it wasn’t for you meddling kids!