A Business Model
It's not like this today. There is the issue of energy costs.
As Sam Altman, CEO of OpenAI admitted, when they reach one million users, the costs for maintaining and managing the system are very high.
In the case of ChatGPT we know that it is hosted on Microsoft's Azure cloud.
On the web, they calculated based on Microsoft's cloud costs that each word generated on ChatGPT costs $0.0003. It means burning at least 3 million a month for management costs.
Sooner or later someone will have to start finding a business model and a price for these services. Until then Google can rest easy.
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Pick a Business Model with Leverage
An ideal business model has network effects, low marginal costs, and scale economies.
Scale economies: the more you produce, the cheaper it gets. This builds up an automatic barrier to entry against competition and getting commoditized.
Technology products especially, and m...
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