Harvey goes broke serving frontier models to big law on flat-fee multi-year deals unless...

Harvey goes broke serving frontier models to big law on flat-fee multi-year deals unless...

they serve dirt-cheap LLMs as premium to big time lawyers and/or...

renegotiate with AM Law 100 for usage based or rate limits...

yeah, negotiate with the most expensive lawyers on the planet 🫠

The chart below projects Gabe Pereyra's 14.6 Trillion token post in June

Top shows token growth - bottom shows revenue per token on a flat-fee

TL;DR: the more tokens you serve, the less money you make despite growth...

As SaaS subscription you are ☠️ if you marry a model, long live wrappers

So let's look at a cheap models or inference👇🏽

How can one serve cheaper? Ship big law data to China 🇨🇳 because..

You can't beat a frontier with your own, just ask Google plus..

Running models on US 🇺🇸 or EU 🇪🇺 soil is very expensive

Point: tokenomics is a tricky business to outsmart unless...

...you're a big time law firm 👉🏽 https://lnkd.in/e44BM2wr

Sorry to interrupt your Saturday Sabih Siddiqi | 46 comments on LinkedIn