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You Are Not a Model. Don't Price per Token

a16z.news

2 points by gemanor · 1 comment

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PaulHoule

I dunno, I was trying to develop something 10 years ahead of its time 10 years ago and either facing the problems that people are facing now with AI or anticipating that I would face those problems.

I had endless arguments with people over pricing. Now we were bootstrapping so I had a consistent insistence that any API had to cover cost of goods sold all the time full stop. I get the idea of "value-based pricing" but it was important to me that everything was built for profitability.

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