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@tjrobertson52 source record
AI getting more expensive isn't the real problem, not keeping up is. Your output needs to 8x. Here's why. #AIbusiness #FutureOfWork #BusinessTips
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Wasn't AI supposed to get cheaper over time? Why is it getting more expensive? The way things are going, it looks like AI usage is just going to cost more and more for the foreseeable future. So why would we keep spending more tokens if they're getting more expensive? And what did we get wrong here? Well, the truth is, if you control for capabilities, AI is getting cheaper. For example, Google's Gemma 4 model is incredibly cheap, and it's as capable as any of the frontier models were a year ago. So if you're okay sticking with the capabilities of the frontier models today, then yes, you can expect those capabilities to get cheaper over time. Problem, of course, is that 6 months from now, those capabilities aren't gonna be enough. If your competitors are using the latest models and you're not, you're just not gonna be able to keep up. But wait, I thought AI was supposed to make everythi
Related Passages
Wasn't AI supposed to get cheaper over time? Why is it getting more expensive? The way things are going, it looks like AI usage is just going to cost more and more for the foreseeable future. So why would we keep spending more tokens if they're getting more expensive? And what did we get wrong here? Well, the truth is, if you control for capabilities, AI is getting cheaper. For example, Google's Gemma 4 model is incredibly cheap, and it's as capable as any of the frontier models were a year ago. So if you're oka...
or this to make sense, the tokens have to be more cost efficient than payroll. Maybe our output has to be something like three times what it is now. But of course, if all companies are becoming more efficient, or at least those that are staying competitive are, then what you can charge for the same output is also going to go down. So in reality, your output probably needs to go up by four to eight times in the next one to two years with the same payroll. And of course, I'm just referring to work that can be done...