‘The sudden cost spike exposes the fragility of building businesses on subsidized API access. If your margins depend on cheap tokens, you are entirely at the mercy of the labs.’

I’m just here for the fallout. The businesses who jettisoned their talent in favor of cheap AI garbage. The ones who have seen obvious degradation in work quality and stability, but who have tried to ignore or hide it. They now have to face down CFO’s and executive management who see zero returns on the current spend and are being asked to approve extreme budget increases.

A 230% increase isn’t even a big jump. Try 1000%. That may not even be enough to cover the costs and turn a profit for AI companies.

AI blogspam.

I'd like to see the prompt that generated this piece

edit: these are not the prices I see at https://api-docs.deepseek.com/quick_start/pricing/

I mean, even with a hike of 230% this is going to be lower than Luna/Haiku right?

The article failed (deliberately?) to mention that 0731 vision exp is two releases old. It's not nearly as efficient or as capable as the newer 4.1 Flash and 4.1 Flash 1017 models.

This move is most likely the DeepSeek team just making efforts to phase it out.

So reliant on AI

Big deal, they are bringing 0731 prices to the same level as 1017. Given their compute constraints (thanks to US sanctions) it makes sense to not support too many legacy models anyway.

https://www.alibabacloud.com/help/en/model-studio/model-pric...

Over 12 months I'd expect [0] the $/task of completing a benchmarked task to drop to x0.01 of its original price. If providers increase their prices by 230%, that implies I would expect x0.033 the initial benchmark.

I don't know if this even counts as newsworthy, prices are too volatile. Speaking of, wasn't this model released a few months ago? It must be getting close to being obsolete by now.

[0] https://artificialanalysis.ai/trends#efficiency

In other news, China is about to ban open weights model exports

https://www.straitstimes.com/business/china-plans-ai-export-...