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I've been looking at the raw math for TCO op costs, resale values, required revenue to recoup and upgrade on a 3 year cycle, etc and nothing makes sense
system like this would run 70B models at an aggregate 268 tokens per second and a purchase + first year running cost aggregate of like $415k. electricity at 100% utilization would be like $12.5k per year. I dont know how to specifically amortize personnel but let's just say it takes $50k of people time to manage a unit. three year ownership at a 50% resale rate give total operating cost three years $362500
would generate about 8.4 billion tokens in a year.
362500 / 8.4x3 / 1000 = $14.38 per million token to break even. Not profit and replace system, break even.
my conclusion is this AI craze is destabilizing the world and providing no tangible benefit
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people are going to look back at this time the same way we look back on the dot com bubble bursting and all the dumb shit going on then.
chatgpt charges you 2 dollars for a million tokens, when it should be 15 - 20 bucks as a sane business model. and like more than half the internet i assume, like myself aren't paying for any of this shit and just using the daily free amount of all the LLMs to power their dumb ai art / chatbots currently.
who the fuck is paying for this shit, is money even real? what's going on.