[tverbeure]

Nobody questions that Anthropic makes revenue from a $20 subscription. The opposite would be very strange.

[brandensilva]

Yeah it's the caching that's doing the work for them though honestly. So many cached queries saving the GPUs from hard hits.

[xienze]

How is caching implemented in this scenario? I find it unlikely that two developers are going to ask the same exact question, so at a minimum some work has to be done to figure out “someone’s asked this before, fetch the response out of the cache.” But then the problem is that most questions are peppered with specific context that has to be represented in the response, so there’s really no way to cache that.

[simonw]

A lot of people believe that Anthropic lose money selling tokens to customers because they are subsidizing it for growth.

[Drakim]

But that has zero effect on revenue, it only affects profit.