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[return to "Had a call with Reddit to discuss pricing"]
1. 58x14+Je[view] [source] 2023-05-31 18:31:34
>>robbie+(OP)
I think it's very clear that the recent LLM boom is directly responsible for Twitter, Reddit, and others quickly moving to restricted APIs with exorbitant pricing structures. I don't think these orgs really care much about third-party clients other than a nuisance consuming some fraction of their userbase.

Enterprise deals between these user generated content platforms and LLM platforms may well involve many billions of API requests, and the pricing is likely an order of magnitude less expensive per call due to the volume. The result is a cost-per-call that is cost-prohibitive at smaller scales, and undoubtedly the UGC platform operators are aware that they're pricing out third-party applications like Apollo and Pushshift. These operators need high baseline pricing so they can discount in negotiation with LLM clients.

Or, perhaps, it's the opposite: for instance, Reddit could be developing its own first-party language model, and any other model with access to semi-realtime data is a potentially existential competitor. The best strategic route is to make it economically infeasible for some hypothetical competitor to arise, while still generating revenue from clients willing to pay these much higher rates.

Ultimately, this seems to be playing out as the endgame of the open internet v. corporate consolidation, and while it's unclear who's winning, I think it's pretty obvious that most of us are losing.

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2. hacker+Ja2[view] [source] 2023-06-01 10:39:57
>>58x14+Je
ah that explains why Twitter led the pack making their APIs insanely expensive. there is value in the data and the LLM companies will be willing to fork it. a whole new business model and monetization of mass data not predicated on ads or user privacy. what could go wrong?
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3. pas+zM2[view] [source] 2023-06-01 14:47:30
>>hacker+Ja2
That's unlikely. Elon jacked up the price because he wanted Twitter to make revenue, so get people to use their app and site, and basically to just get rid of anything he doesn't control.
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