653: Microsoft's Franck Pachot

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Coder Radio 30 min 2 speakers 4 chapters transcribed 2 months ago
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What opening news and housekeeping does the host cover?

Mike Elgan 0:04
Hello, and welcome to Coder Radio. I've got a great show for you, talking some Azure, but mostly Horizon DB with Frank Pascio of Microsoft. First, a little housekeeping as always. Again, it is the doldrums of summer. If you need any development, integration, or automation work done, let me know. You can go to themadbotter.com for that, or just fill out the show form, or really, you can just hit me up in the Discord. Speaking of the Discord, get in there. The Discord's hot. The Discord's fine. Hot? I think you said the water's warm, right? Not hot. Unless it's hot, though. Then I guess you could say that. So, a little bit of actual news. Fable's back, and it's more miserly than ever. So, you only, until July 7th, depending on the date this airs,
Mike Elgan 0:52
have or had 50% of your usage allotment for a week. It will also fail back or intentionally drop back is what this seems like from their announcement to Opus 4.8 for most common quote tasks, which they specifically say coding. So that's interesting. After the seventh, folks on the Claude Max and Pro plans, I think it's Pro Max, whatever, you pay $100 or $200. Those are the two plans I'm talking about. will have no usage of Fable without paying the as-pay-as-you-go token fee. So that's a little surprising. I understand the economics here, but that's interesting. At the time of recording, I don't know how tasty or true this bacon is, but there's definitely a current among some of the heavier users and people talking about this that they feel Opus has been nerfed.
Mike Elgan 1:49
I don't know how true that is. But it's interesting. It definitely seems like they're positioning Fable as the enterprise play and everything else is. You would almost say like Opus 4.8 is like the prosumer, right? You're paying the $200 a month. And I guess whatever the plan below that or the two plans, I don't know how many plans they have at the lower end. I don't want to say consumer, but... less high market. So that's super interesting. One takeaway here, and I would just, you know, I don't want to jump into the whole thing about them being restricted by the administration, I should say the US administration. But one takeaway here is these tools are not yours to own, right? You are not hosting them yourself.
Mike Elgan 2:36
You do not control them. And for any reason, or frankly, no reason, these vendors can either A, raise the price, or B, take it away.

How did the host frame concerns about AI pricing and vendor control?

Mike Elgan 2:45
So that is, I think, a bigger risk than most executives on the business side as they try to roll this stuff out. It's a bigger risk than they're giving it credit for. We'll see. I mean, we're early days in all this. My long-term bet is specific, task-oriented, and domain-meaning. you know industry or space oriented local-ish models are going to eventually arise one other thing i'd flag you know i try not to do the controversial political stuff on here anymore those were the bad old days right but it was striking to see the ceo of anthropic flag open source models as a threat. Those who, you know, I was chatting with the discord. No, I hate this, this whole marketing scheme of it's so it's, you know, our model, you should use our model because it's so good.
Mike Elgan 3:40
It's dangerous. Mwahaha. That's silly. That reminds me of like a Sega marketing campaign from the nineties, right? We're so cool. We're extreme with an X and not an E. Little silly that backfired on them. But again, I think that happened more because of not managing their relationship with a fairly Mercurial set of folks. I don't mean Mercurial, the source control system. Shout out to anybody old enough to have actually used Mercurial like me. There you go. I think it was better than Git. Don't quote me on that, even though you totally can. there's going to be occurrences like this again and we need to well i guess we don't need to but if you you know if you're if your organization is investing heavily in this you need to think about mitigation strategies i mean part of the reason it's the doldrums of summer is i'm kind of charging ahead with the banner of on-premises host it yourself you need to

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