[marsten]

You raise a good point that this isn't a low marginal cost business like software, telecom, or (most of) the web. Efficiency will be a big advantage for companies that can achieve it, in part because it will let them scale to new AI use cases.

With the race to get new models out the door, I doubt any of these companies have done much to optimize cost so far. Google is a partial exception – they began developing the TPU ten years ago and the rest of their infrastructure has been optimized over the years to serve computationally expensive products (search, gmail, youtube, etc.).