Are the new Anthropic and OpenAI models making AI cheaper?

Short answer: Jordan Metzner says the new Opus model performs well and is significantly cheaper than Fable, and that the overall point is intelligence is getting cheaper while labs are not slowing down.

Watch this answer from Episode 53

Watch this answer from Episode 53 (starts at 13:03) · Episode 53 notes and transcript

What was said on Built This Week

From Episode 53: He Ran a Rocket Launch Company. Now He Is Building Autocomplete for Hardware Design., starting at 13:03.

Sam Nadler [13:03]: Amazing. Amazing. Well, with that, it was a pleasure to hear more about Hestus. With that, I want to introduce a little bit of news for this week. While it seemed like maybe the Frontier Labs were talking about slowing down, they both released new models, I think, yesterday and today. Anthropic releases 5.5, Lower prices that... And compatible performance to Fable. I believe OpenAI launched Soul and Luna, g p t six, lower cost as well. Curious if either of you... Jordan, let's start with you. Have you had the chance to test any of these models out? Immediate reactions and, yeah, high level thoughts.

Jordan Metzner [13:52]: Yeah. I gotta play with a little bit. I tested Opus, the new Opus model, which is performing quite well and significantly cheaper than using Fable, so that feels pretty good. I also use Codex a lot. So I've been using some of GPT six. I haven't tried the new GPT six. The other models, the lower level models only sold so far, but it's been pretty cost effective. So I haven't really found, like, the need yet. But I think to your point, Sam, it appears that, these labs are not slowing down. Like we mentioned at the beginning of the show, Grok released a model this week. It doesn't seem like the Twitter audience or Reddit audience has picked it up as, like, working as successfully yet. But, I don't think you can count on Elon and, the cursor team over there. So I think we'll probably see more there. Google continues to release more, like, real time models with TTS and, like, 3.8 Gemini. So I think all of them are getting more and more competitive.

Jordan Metzner [14:51]: And then, obviously, we have what's happening in open source. Right? So, it's a lot of exciting stuff, but I think the overall point is is that intelligence is getting cheaper. Right? 5.5 when Opus came out was incredibly expensive. Right? And then Fable's incredibly expensive, you know. And now we've, dropped it down, to, significantly lower cost per token prices. So that feels good, and the models are really stable. I don't know. What about you guys?

Tools mentioned

More questions from this episode

Go deeper

New episode every week

Watch us build with AI, live.

Real builds, founder interviews and the AI news that matters. Join 43K+ builders on YouTube.

▶ Subscribe on YouTubeBrowse all episodes →