5min chapter

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Yet Another Infra Podcast - Episode 1 - Vitaly Gordon, Alex Clemmer, Moin Nadeem, and Jamin Ball discuss the commercial opportunities of AI, how startups should approach training AI models, pricing models, and more.

Yet Another Infra Podcast

CHAPTER

Why Use-Based Pricing Is Better Than Usage Based Pricing, Right?

I think the advice of usage-based pricing is better because it lends itself to more NRR. I don't think a business should optimize towards NROI. The place where we agree is early stage, right? When you're in early stage business, what matters is just getting customers,. Let them grow, let them ramp up, that's gonna drive your growth. And then in each of those NRR accounts that you have, there's a number of workloads. Where are you getting your growth from new workloads? Well, perhaps your rent has already been paid for by someone else. If it's all coming from exponential workloads and not logarithmic ones, maybe

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