KPMG finds most companies lack clear understanding of AI spending
Turns out, most companies are pretty confused about what they're actually spending on AI.
According to a new KPMG report, only about one-quarter fully understand their AI bills, while one-half have just a rough idea.
Another 22% only notice the costs when the charges show up, definitely not ideal.
Token pricing drives surprise AI bills
The switch to token-based pricing is making things even messier. With this model, companies pay based on how much work their AI does, so surprise bills can pile up fast if usage goes overboard.
OpenAI's Sam Altman summed it up: "All of a sudden (AI costs) are a huge issue."
Some firms are now setting strict limits: Uber hit its yearly budget in months and capped spending per employee, while another company spent roughly $500 million on Claude in just one month.