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The Paradox: Cheaper AI Can Send Computing Through the Roof

July 22, 2026
The Paradox: Cheaper AI Can Send Computing Through the Roof Watch on YouTube

But here I want to challenge the most enthusiastic interpretation. Making a model cheaper doesn’t eliminate the need for computing. Sometimes it increases it. That’s the central paradox. If generating a response costs much less, companies don’t necessarily spend less. Many times they do more pr

But here I want to challenge the most enthusiastic interpretation. Making a model cheaper doesn’t eliminate the need for computing. Sometimes it increases it. That’s the central paradox. If generating a response costs much less, companies don’t necessarily spend less. Many times they do more. They integrate AI into more processes, test agents, automate internal workflows, process more documents, generate more code, and run more simulations. The unit cost goes down, but the volume goes up. That’s what happens again and again in technology.

Full episode: https://youtu.be/ihk7raVnjfk

🤖 AI-generated content: the script, voices, and images for this episode were produced using artificial intelligence tools.

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