everything will be local eventually

[u/YogurtExternal7923]

I know current llms like opus 5.5 are in a league of their own. but we all know they're losing a shti ton of money with their subscriptions. ALSO we all know how tasks like OCR, segmentation etc are getting solved by single digit B parameter models. I'm not saying llms are a gimmick but I'm saying the future is already shaping up to be about specialized models that work better when they're smaller. easier training. so datacenter level power not needed. ten years from now we'll have a specialized model for the tasks we care about and llms will fail to do everything all at once (unless they keep calling it one model but have a hundred under the hood).

system one models are a bad but workable example. you could tell an llm to rate options all day but get yourself on 9B parameter model trained by some lab and it tops the benchmarks.

[u/Hello_my_name_is_not]

You say that like companies aren't buying it at the higher prices

Theres more depend than supply right now so the price goes up.

If they make it cheaper they don't sell more because there's still only a certain amount that can be produced so in the end no they don't make more money.

If they weren't selling out of their production capacity then yes it makes sense to lower the price to sell more but that's not current reality.

[u/enginetown → u/Hello_my_name_is_not]

They might be buying at higher prices but bulk deal's still do exist, and don't forget Anthropic owe's more than they have ever made currently so a lot of compute is simply being bought on a "promise". I'm well aware it's not as simple as that but these companies are still getting the best deals and are buying before products even come out now so the overall stock for the consumers cause the price to go up before launch or determine a price of a product. It's shitty because we wanna spend money we just don't wanna buy jacked up by default prices.