this post was submitted on 10 Aug 2025

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Techcrunch reports that AI coding tools have "very negative" gross margins. In other words, they are losing money on every user. (techcrunch.com)

submitted 1 year ago by Davriellelouna@lemmy.world to c/technology@lemmy.world

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[–] BJ_and_the_bear@lemmy.world 11 points 1 year ago (1 child)

It will be good for nerds who want to run models locally. Definitely not a huge maker tho

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[–] Tollana1234567@lemmy.today 2 points 1 year ago

too niche of the hundreds of billions they invested and will never get ROI from it.

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