The Future of Open Source Models and Economic Value

Foundational models in the future will have no economic value but will be freely available. Closed models on the open internet will lose economic value, while open source models will thrive. Companies like Google, Microsoft, Facebook, Amazon, and startups will shift towards open source models. Economic value captured by proprietary closed models trained on open data will diminish. There will be a need for a new infrastructure around token per second provisioning for models. Companies with proprietary hardware like Amazon, Google, and startups are positioned to excel in providing token per second services. The future economic winners will be those who can provide their proprietary hardware for training and inference, similar to how Amazon profited from EC2 and S3 in the cloud computing era.