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Microsoft reports are exposing AI's real cost problem: Using the tech is more expensive than paying human employees (fortune.com)

submitted 1 day ago by yogthos@lemmy.ml to c/technology@lemmy.ml

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[–] FreedomAdvocate@lemmy.net.au -1 points 1 day ago* (last edited 1 day ago)

The article is based off a false premise right from the get go, and their first line even points this out.

Microsoft has reportedly begun canceling most of its direct Claude Code licenses, according to The Verge, instead moving engineers toward using GitHub Copilot CLI.

This is just common sense. Why pay for Claude licenses when Claude’s models are in GitHub copilot, which they own and is integrated directly into their dev programs? It’s not scaling back AI.

And while the cost of ai compute can get very costly very quick, having talented developers using the AI tools enables them to get through mountains more work than they could without it, so it’s really paying for higher “productivity”/throughput.