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Most of the price gap between o1 and R1 is margin rather than efficiency: OpenAI's inference gross margins are north of 75% because nobody else could serve the capability.
Drawn from what Dylan Patel said
What Dylan Patel actually said
- Dylan Patel Founder and chief executive of SemiAnalysis
OpenAI has a fantastic margin. When they're doing inference, their gross margins are north of 75%. So that's a four to five X factor right there of the cost difference, is that OpenAI is just making crazy amounts of money because they're the only one with the capability.
Added to korrents 7 Sept 2026 · How quotes work · Something wrong? Tell us
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