Rising AI costs force firms to rethink use amid IPOs
AI is getting pricier, and companies are starting to rethink how they use it.
The days of investors covering the costs to hook users are fading, with big names like OpenAI and Anthropic looking to go public later this year.
As hardware gets harder to find and expenses keep rising, businesses are searching for smarter (and cheaper) ways to make AI work for them.
Companies adopt open-source and mini models
To save money, some companies are switching to free, open-source AI tools or using smaller models built for specific industries like finance or real estate.
Some are even breaking down tasks so they can use less expensive models for each part.
Adrian Balfour from Enverso summed it up: using mini models can slash costs from $15 to just 5 cents per million tokens, a big shift toward balancing performance with affordability.