Open Models Change The Economics of AI

Ollama Co-founder Jeffrey Morgan discusses the enterprise shift to open models, driven by cost, customization, and coding agents, leading to a 150X token growth. He highlights the dominance of Chinese models in cloud consumption, the hardware renaissance enabling local LLMs, and the rise of ultra-efficient "flash" models. Morgan also shares Ollama's journey, from its YC pivot to its monetization strategy, and reflects on lessons for building AI companies.