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Microsoft CEO Satya Nadella wrote that a company renting an AI model “essentially pays for intelligence twice”: Once in money, and again in …
Microsoft CEO Satya Nadella wrote that a company renting an AI model “essentially pays for intelligence twice”: Once in money, and again in the proprietary knowledge it has to reveal to make the model
Microsoft CEO Satya Nadella wrote that a company renting an AI model “essentially pays for intelligence twice”: Once in money, and again in the proprietary knowledge it has to reveal to make the model useful. This mechanism is called the learning loop: every prompt and correction captures some of the company's know-how. That knowledge is distilled and, with a closed model, the provider keeps that information. If your usage data is worth more than the token cost to serve, providers might end up paying you to use their models. The precedent exists: OpenAI created an opt-in program that gives accounts up to 1M free tokens a day on certain models in exchange for training rights on that traffic. Chips can be rented and algorithms can be leaked or distilled, but the prompts and corrections flowing through a model compound privately for whoever holds them.
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Source: Clem Delangue (X) | 2026-10-04