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Joined 2 years ago
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Cake day: August 16th, 2023

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  • Yes, Profit is what’s left after you subtract costs from sales. DeepSeek claims it has a “theoretical profit margin of 545%.” This means that for every dollar they spend, they could potentially make $5.45 in sales. However, this is a theoretical number, meaning it’s not what they actually earn. They mention that their real revenues are lower because they don’t charge for all their services and offer discounts.

    It is interesting because so far the industry margin are opaque and there is no clear number from OpenAI/anthropic and co. So by sharing this info, it allows to have better visibility on the industry long term future.