So Far, AI Is a Money Pit That Isn't Paying Off
While the stock market may love the term "AI," companies haven't figured out how to optimally monetize the services that go along with it.
[ comments | sourced from HackerNews
This is the best summary I could come up with:
A new report from the Wall Street Journal claims that, despite the endless hype around large language models and the automated platforms they power, tech companies are struggling to turn a profit when it comes to AI.
Github Copilot, which launched in 2021, was designed to automate some parts of a coder’s workflow and, while immensely popular with its user base, has been a huge “money loser,” the Journal reports.
OpenAI’s ChatGPT, for instance, has seen an ever declining user base while its operating costs remain incredibly high.
A report from the Washington Post in June claimed that chatbots like ChatGPT lose money pretty much every time a customer uses them.
Platforms like ChatGPT and DALL-E burn through an enormous amount of computing power and companies are struggling to figure out how to reduce that footprint.
To get around the fact that they’re hemorrhaging money, many tech platforms are experimenting with different strategies to cut down on costs and computing power while still delivering the kinds of services they’ve promised to customers.
The original article contains 432 words, the summary contains 172 words. Saved 60%. I'm a bot and I'm open source!
