A $20/month user costs OpenAI $65 in compute. AI video is a money furnace
OpenAI discontinued the Sora AI video product due to unsustainable economics, where production costs exceeded revenue. The financial model resembles a restaurant charging significantly less than the cost of food preparation, leading to inevitable losses.
aedelon777.substack.com
19 min
13h ago
A $20/month user costs OpenAI $65 in compute. AI video is a money furnace
OpenAI discontinued the Sora AI video product due to unsustainable economics, where production costs exceeded revenue. The financial model resembles a restaurant charging significantly less than the cost of food preparation, leading to inevitable losses.
aedelon777.substack.com
19 min
13h ago
A $20/month user costs OpenAI $65 in compute. AI video is a money furnace
OpenAI discontinued the Sora AI video product due to unsustainable economics, where production costs exceeded revenue. The financial model resembles a restaurant charging significantly less than the cost of food preparation, leading to inevitable losses.
aedelon777.substack.com
19 min
13h ago
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