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Nerf Watch - AI Shrinkflation Index

Is your AI model falling behind? We track competitive rankings for 28 proprietary API models weekly. Over 21 weeks, 86% dropped in rank - many while prices stayed the same.

Models Dropped

24 of 28

Avg Rank Drop

+30.3 positions

Worst Provider

ByteDance

Biggest Fall

Qwen3.5 Plus 2026-02-15

#10 → #127

Models Losing Ground

Weekly ranking trajectory for models with the biggest drops over 21 weeks. Lines moving down = losing rank positions.

Rank Trajectory - 10 Biggest Falls

2026-w08 to 2026-w28 - among 168 proprietary coding models

LMMarketCap.com

Biggest Rank Drops

Models that lost the most ranking positions over 21 weeks.

Positions Lost

2026-w08 to 2026-w28 - higher = more decline

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This Week's Nerf Alerts

Models that dropped 2+ ranking positions this week.

Qwen3.5 Plus 2026-02-15 - Rank Trend

Qwen3.5 Plus 2026-02-15

Alibaba

critical

#10 → #127

Dropped 117 positions over 21 weeks

2026-w082026-w28

$1.17/M - unchanged

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Seed 1.6 - Rank Trend

Seed 1.6

ByteDance

critical

#27 → #133

Dropped 106 positions over 21 weeks

2026-w082026-w28

$1.47/M - unchanged

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Seed-2.0-Mini - Rank Trend

Seed-2.0-Mini

ByteDance

critical

#21 → #125

Dropped 104 positions over 21 weeks

2026-w082026-w28

$0.31/M - unchanged

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Nova 2 Lite - Rank Trend

Nova 2 Lite

Amazon

critical

#26 → #87

Dropped 61 positions over 21 weeks

2026-w082026-w28

$1.84/M - unchanged

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Claude Haiku 4.5 - Rank Trend

Claude Haiku 4.5

Anthropic

critical

#25 → #70

Dropped 45 positions over 21 weeks

2026-w082026-w28

$3.80/M - unchanged

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Gemini 3.1 Flash Lite Preview - Rank Trend

Gemini 3.1 Flash Lite Preview

Google

critical

#9 → #46

Dropped 37 positions over 21 weeks

2026-w082026-w28

$1.12/M - unchanged

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Provider Report Card

Provider competitiveness rated by average rank change over 21 weeks. Only providers with 2+ tracked models are graded.

Provider Avg Rank Change - 21 Weeks

Positive = models dropped in rank, Negative = models climbed

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ProviderGradeModelsAvg Rank
ByteDanceF2+105.0
AnthropicF5+27.0
GoogleF6+14.5
OpenAIF13+8.1

Shrinkflation Leaderboard

27 models with ranking changes, sorted by positions lost.

StatusModel2026-w082026-w28Change
criticalQwen3.5 Plus 2026-02-15Alibaba#10#127+117
criticalSeed 1.6ByteDance#27#133+106
criticalSeed-2.0-MiniByteDance#21#125+104
criticalNova 2 LiteAmazon#26#87+61
criticalClaude Haiku 4.5Anthropic#25#70+45
criticalGemini 3.1 Flash Lite PreviewGoogle#9#46+37
criticalClaude Sonnet 4.6Anthropic#2#36+34
criticalClaude Sonnet 4.5Anthropic#11#41+30
criticalo4 Mini Deep ResearchOpenAI#18#43+25
criticalGPT-5.1OpenAI#12#30+18
criticalGemini 2.5 Flash LiteGoogle#31#49+18
criticalGemini 2.5 FlashGoogle#32#50+18
criticalClaude Opus 4.5Anthropic#20#37+17
criticalGPT-5.3-CodexOpenAI#7#23+16
criticalGPT-5.1-Codex-MaxOpenAI#16#29+13
criticalo3 Deep ResearchOpenAI#22#33+11
criticalGemini 3 Flash PreviewGoogle#17#27+10
criticalGemini 2.5 Pro Preview 06-05Google#29#39+10
criticalGPT-5.4OpenAI#1#10+9
criticalClaude Opus 4.6Anthropic#6#15+9
warningGPT-5.2OpenAI#8#14+6
warningGPT-5.4 ProOpenAI#4#9+5
warningGPT-5 ProOpenAI#19#24+5
watchGPT-5.1-Codex-MiniOpenAI#30#32+2
improvingGPT-5OpenAI#28#26-2
improvingGPT-5.2-CodexOpenAI#15#12-3
improvingGemini 3.1 Pro PreviewGoogle#14#8-6

How Shrinkflation Is Measured

Our shrinkflation index tracks how proprietary AI models shift in competitive ranking, combined with pricing changes to measure the real value users get.

Competitive Ranking

Each model is ranked among all proprietary coding models by composite quality score. A ranking drop means competitors have surpassed it - whether or not the model itself changed.

Shrinkflation Score

Shrinkflation Score (0-100): each rank position lost = 3 points, price increase per 1% = 2 points. Formula: clamp(rankDelta * 3 + max(0, pricePctChange * 2), 0, 100).

Nerf Levels

Critical (dropped 8+ positions), Warning (4-7), Watch (1-3), Stable (0), Improving (climbed). Based on total rank change over the tracking period.

Data Notes

Tracking 21 weeks (2026-w08 to 2026-w28). The proprietary coding model pool grew from ~108 to ~156 models. See Methodology for full scoring details.

Frequently Asked Questions

We track each proprietary AI model's competitive ranking among all proprietary coding models available via API, measured weekly. When a model drops from #2 to #6, it means 4 models now score higher than it did - whether because competitors improved or the model itself changed. This captures the real competitive position that determines what users should pick.

Ranking drops happen for several reasons: new competitors launch with better specs (context window, capabilities, output length), existing competitors get updates, or a model's own specs change. Between w08 and w14, the proprietary coding model pool grew from 108 to 156 models. Even a model with unchanged quality will drop in rank as better alternatives enter the market.

Open-source models have published, immutable weights. Once released, they cannot be silently changed by a provider. Any ranking shifts for open-source models come from new competitors entering, not from the model itself changing. The shrinkflation concept - paying the same price for a relatively worse product - only applies to proprietary API models.

Shrinkflation Score (0-100) combines rank decline and price changes: each position dropped scores 3 points, and price increases add 2 points per percent increase. Formula: clamp(rankDelta * 3 + max(0, pricePctChange * 2), 0, 100). A model that dropped 10 positions with unchanged pricing scores 30. Higher = worse for users.

Absolutely. This is the most common scenario. The AI market moves fast - 48 new proprietary models were added to our tracker in just 7 weeks. A model can be unchanged but its ranking drops because better alternatives now exist. This is still meaningful for users: you're paying the same price for a model that's no longer best-in-class.

Related

AI Shrinkflation Index - Is Your AI Falling Behind? | LM Market Cap