Cal Paterson 11/26/2024

Building LLMs is probably not going be a brilliant business

Read Original

This article argues that while Large Language Models (LLMs) are technologically significant, building them may not be a profitable business venture. It draws parallels to industries like airlines, which have unfavorable market structures—high supplier power, low customer loyalty, and easy new entry—that prevent capturing value. The piece contrasts this with profitable businesses like soft drinks, emphasizing that industry structure, not just innovation, determines business success, applying this economic lens to the AI/LLM sector.

Building LLMs is probably not going be a brilliant business

Comments

No comments yet

Be the first to share your thoughts!

Browser Extension

Get instant access to AllDevBlogs from your browser

Top of the Week