This isn't the government subsidizing a private venture, it's a private venture offering a discount to the government. What does profitability have to do with whether or not the government should purchase their services?
Not a discount at all. Every dollar for a rented service is being flushed down the toilet. Industry is moving to local llms, the government should have been ahead of them.
I'm of the mindset that "GovCloud" and related products that make government dependent on private companies for vast government services is a bad idea.
If it's critical infrastructure, it should be publicly owned, funded, and protected by the federal government directly. Not rented from someone else under contracts that can be violated.
There is a whole side of sci-fi that has explored the idea that AI government could finally cure us so much more than just one class of corruption. There are, however, new downsides.
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[ 0.23 ms ] story [ 5.0 ms ] threadGSA should be working to host its own inference and models for federal agencies, not selling out to unprofitable private infrastructure.
If it's critical infrastructure, it should be publicly owned, funded, and protected by the federal government directly. Not rented from someone else under contracts that can be violated.
Genuine public service.
10-15% discount was sufficient to get listed.