observation · 13 Feb 2026 · 1:03:26

Log returns to scale can be significant, and investing in serving inference or hiring engineers might be more profitable than scaling up.

Remember the log returns to scale. If 70% would get you a very little bit of a smaller model through a factor of 1.4x... That extra $20 billion, each dollar there is worth much less to you because of the log-linear setup.

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