Is she paying for it? That is the only question that matters in the end.
For myself, I use LLMs daily and I would even say a lot on some days and I _did_ pay the 20€/mo subscription for ChatGPT, but with the latest model I cannot justify that anymore.
4o was amazingly good even if it had some parasocial issues with some people, it actually did what I expect an LLM to do. Now the quality of the 5.whatever has gone drastically down. It no longer searches web for things it doesn't know, but instead guesses.
Even worse is the tone it uses; "Let's look at this calmly" and other repeated sentences are just off putting and make the conversation feel like the LLM thinks I am about to kill myself constantly and that is not what I want from my LLM.
Most potential customers wouldn't ever think in terms as "justifying" a €20 purchase when the product is great.
ChatGPT (and competitors) is an incredibly high value tool, and €20 per month is nothing for somebody who wants or needs it. It's just a matter of if they use it enough to start hitting the daily limits.
not necessarily, if openai managed to monetize free users. Could be through advertising, or integrations with marketplaces on commission (e.g. order your next Hello Fresh through ChatGPT? Get recommended a hotel?)
They could succeed where Alexa failed. A free user can even bring in more than a paid user if you look at some platforms like spotify, where apparently there is a large chunk of free users generating more income through ads than if they would pay
>Is she paying for it? That is the only question that matters in the end.
Don't underestimate advertising. Noone pays for Facebook or Google search. Yet the ad business with a couple billion users seems profitable enough to fund frontier LLM research and inference infrastructure as a side-gig in these companies. Google only rushed out AI overview because they saw ChatGPT eating their market share in information retrieval and Zuck is literally panicking about the fact that users share more personal details with OpenAI than on his doomscrolling attention sinks.