Comment by jsheard

16 hours ago

Windows and Android took the commodity approach but they always had a business model, while Meta AI is currently running on Underpants Gnomes economics.

1. Spend billions on a product, then give it away for free.

2. ???

3. Profit!

> Then Meta announced open sourcing Horizon OS.

Open sourcing isn't really the right term, they're allowing third party hardware vendors to use it but it's still proprietary. Horizon OS is built on top of Android and they're following the Android playbook where the core is technically open source but the version nearly everyone actually uses has a bunch of proprietary Google (or Meta) software layered on top, and Google (or Meta) dictates the terms of using that software, which lets them ensure that revenue always flows back to Google (or Meta) regardless of who made the hardware.

Meta and Google are the companies most able to monetize AI-generated or AI-enhanced[1] content on their respective properties.

1. Meta showed off automatic audio translation that preserves speaker's voices. Content creators can now expand their following beyond their spoken languages, generating more ad impressions.

Don't they charge cloud vendors who sell LLAMA models on their platform? My understanding is that is part of the licensing agreement. Its more like:

1. Spend billions on a product.

2. Make it free to work with and charge to commercialize it.

3. Profit

They use the models they opensource in their own products, no? I don’t think Meta is looking to profit selling LLMs…

  • Not exactly "sell", but I do recall Zuckerberg saying that they have a revenue sharing agreement with platforms like AWS Bedrock that offer Llama inference.