this post was submitted on 26 May 2026
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[–] Doomsider@lemmy.world 16 points 1 day ago (2 children)

They barely have launched anything and they are already enshitifying their offerings. I think this says what everyone is thinking. No, they are nowhere near profitable and large scale deployment may not be profitable for a long time.

It took AWS nine years to become profitable. It appears that AI may take a decade or more. How they plan on surviving when they are already taking away features and putting hard limits on usage is anybody's guess.

[–] ch00f@lemmy.world 5 points 17 hours ago

AWS wasn't profitable because they were reiinvesting all their revenue back into growing the service. If they chose to stop growing, they could have been profitable at any point.

AI as an industry is actively, violently unprofitable. They can't even afford to keep the lights on without torching investor money. The more they grow, the faster they lose money.

[–] partofthevoice@lemmy.zip 16 points 1 day ago* (last edited 1 day ago)

Not just that… I’m suspicious that some of them are already implementing inference inefficiencies because they profit more from inference. So if you can make someone’s question consume more tokens, you earn more income per query.

Edit: found example conversation here https://github.com/openai/codex/issues/14593#issuecomment-4523777147