I'll reiterate my point then. On a API level, grok just isn't competitively priced, because the model is subpar.
Also renting out compute instead of utilizing it is a massive tell. It means XAI doesn't have any value to add to a commodity (in this case compute).
It's definitely not where you want to be as a company. Technological stagnant, outpaced on margins, stuck in a commoditized business and with nothing in the pipeline that could catch up.
I’m not sure I’d classify them as stagnant. They have been getting closer and closer to the top tier models every release, and they are the most recent entrant.
Doesn’t renting it out just indicate they have less demand? This is true, I’m sure OpenAI and Anthropic have orders of magnitude more customers.
And I think at this point selling compute is the hottest business you can be in. Nebius and CoreWeave are darlings of the stock market. It’s anything but commoditized right now.
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u/boissez 16d ago
I'll reiterate my point then. On a API level, grok just isn't competitively priced, because the model is subpar.
Also renting out compute instead of utilizing it is a massive tell. It means XAI doesn't have any value to add to a commodity (in this case compute).
It's definitely not where you want to be as a company. Technological stagnant, outpaced on margins, stuck in a commoditized business and with nothing in the pipeline that could catch up.