Token optimization is the key driver; NBIS's EigenAI acquisition validates this insight.
Power cost is minimal; token efficiency is the real competitive moat; NBIS acquisition of EigenAI demonstrates market validation
$nbis acquiring a company, EigenAI, to accelerate token optimization. I remember pure dc folks arguing about cheaper power. Then i looked at cost of power, so small. Token efficiency is the real driver. As someone who has been tinkering on local LLM and tuning, I can tell you that token optimization is the real driver.
| Horizon | Raw move | vs SPY |
|---|---|---|
| 1 day | +14.2% | +14.6% |
| 1 week | +14.6% | +12.2% |
| 1 month | +71.2% | +66.0% |
| 3 months | +22.0% | +19.0% |
| 6 months | — | — |