Using Anthropic drives higher retention and revenue than open-source models
Matt Murphy · Will Open-Source Threaten Anthropic's Business & Do Margins Matter in a World of AI | Matt Murphy · Jul 27, 2026 · at 25:06
Matt Murphy, partner at Menlo Ventures (an investor in Anthropic), addresses whether cheaper open-source AI models will displace proprietary frontier models in software applications.
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“What's happening is companies see this, like, yes, I can get lower cost, but if I use Anthropic, it actually increases my customer retention. I generate more revenue. I get users to Engage with the platform more. And that is what the data is suggesting now with a lot of application companies”
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