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  3. Why does every one think an AI crash is going to come?

Why does every one think an AI crash is going to come?

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  • rottedmood@infosec.exchangeR This user is from outside of this forum
    rottedmood@infosec.exchangeR This user is from outside of this forum
    rottedmood@infosec.exchange
    wrote last edited by
    #1

    Why does every one think an AI crash is going to come? How many years has it been now and it just keeps ramping up?

    johnduggins@infosec.exchangeJ 1 Reply Last reply
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    • rottedmood@infosec.exchangeR rottedmood@infosec.exchange

      Why does every one think an AI crash is going to come? How many years has it been now and it just keeps ramping up?

      johnduggins@infosec.exchangeJ This user is from outside of this forum
      johnduggins@infosec.exchangeJ This user is from outside of this forum
      johnduggins@infosec.exchange
      wrote last edited by
      #2

      @rottedmood The industry is being kept alive with investment income. It's not profitable. Using the different AI services is relatively cheap right now because of it. Once companies make a hard push into profit territory, those AI service costs will go up. The value proposition is be much less than it currently is.

      I'm seeing it with companies abandoning all you can eat pricing and going to use pricing. AI service costs will go up. Companies who build services assuming the old price structure will have to decide whether continuing will be profitable. If a sufficient number of customers decide it's no longer profitable, the companies offering those services will have a choice to make. They'll have to either raise costs more to make up for lost customers or shut down. Neither is a winning position.

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