Gross Profit per Token: A New Valuation Metric for AI Inference Companies

Tomasz Tunguz analyzes Meta's $2.5B acquisition of Manus through the lens of gross profit per token, arguing this metric better predicts AI company valuations than raw token volume. By comparing six AI inference companies, he demonstrates that gross profit per token correlates 0.70 with valuation, suggesting investors prioritize monetization efficiency over scale.