Harvey’s Margins, Are Insects Worth More Than Humans?, Meta Tests Human Help for Muse | Diet TBPN
John Coogan and Jordi Hays discuss Harvey's gross margin recovery, Meta's Muse using human contractors to train its AI, and whether insects matter more than humans by effective altruist logic.
The gist
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Harvey swung from negative to positive gross margins in one quarter by switching to cheaper models and fine-tuning an open-weight model called Harvey Tenant.
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Meta's Muse routes calls it cannot handle to human contractors, using those interactions as training data to close AI gaps over time.
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Legal tech gross margin benchmarks sit at 50 to 75 percent, a bar AI legal tools must eventually hit to avoid structural unprofitability.
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Amazon's $70 billion-plus ad business effectively subsidizes thin e-commerce margins, giving it strong reason to resist agent-based distribution.
Also mentioned
0:57
Harvey
· "We've talked to some lawyers that use Harvey. Seems like a great product. We also had Lorra on the show..."
3:05
Harvey Tenant
· "They fine-tuned an open-weight model. They did post training on an open-weight model and they're calling it..."
5:29
Sequoia
· "Even through June, maybe they did the Sequoia deal that valued the company at 15.5 before that happened,..."
7:09
Claude
· "Opus 55 launched today. Benchmarks look really good, very cheap. And the key thing is this is the first..."
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