A 60%-margin layer cannot be a public utility — everyone pays a cloud tax
Akash Network Explained: Everything You Need To Know Before Investing by Founder Greg Osuri (Founder School)
“Over 50% of every single penny we spend on online services goes to one of the three cloud providers. All of us pay a cloud tax without knowing who we’re paying the tax to… [AWS] is alone a trillion dollar business for Amazon, and profit margins are over 60%, and that’s not okay — you can’t have an [ab]normally profitable layer and you call it a public utility… decentralized systems like Akash [are] 80% cheaper than what you would otherwise pay on Amazon.” — 00:05:12
Context: Citing Andreessen Horowitz’s “Trillion Dollar Paradox” study; margin/utility line is at [00:09:32].