DeepSeek Confirms My Doubts About OpenAI's Misguided Strategy
OpenAI's strategy of launching too many products is costing them billions, while DeepSeek's smart optimizations offer a more cost-effective alternative.
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There are three typical reasons why OpenAI makes the news:
Scandals among board members
They launch new products
Or they complain about still not being profitable
They recently made headlines for the third reason.
At the beginning of January, Sam Altman posted this unpleasant tweet.
The background is that on December 5, 2024, OpenAI launched its $200 per month ChatGPT Pro subscription service, which, as they put it, "allows users to access OpenAI's best models and tools at scale."
The $200 monthly subscription fee is quite expensive, but subscribers get unlimited access to OpenAI's most intelligent models.
We're talking about some of the coolest tools currently on the AI market: OpenAI o1, o1-mini, o3-mini, GPT-4o, Advanced Voice, and more.
Despite this subscription model, OpenAI is still losing money, which doesn’t surprise me.
First, this confirms my long-held belief: OpenAI's approach of launching too many models is not wise.