AI hardware costs quadrupled between December 2025 and June 2026
AI is getting pricier, and companies are starting to question if the investment is worth it.
Between December 2025 and June 2026, the cost of AI hardware shot up four times, according to Zoho AI director Ramprakash Ramamoorthy.
This spike is making businesses rethink how they spend on tech.
Zoho right-sizes AI amid cost warnings
To handle these rising costs, Zoho is right-sizing its AI models and using computing power more efficiently.
Cognizant CEO Ravi Kumar S also flagged issues like wasted resources and urged firms to focus on real results.
Experts warn that as more companies use AI, budgets could get squeezed even further, possibly costing more than human workers by 2027.
Still, many believe the true value of AI comes from helping people work smarter, not just automating everything.