this post was submitted on 01 Oct 2026
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The price of AI is crashing faster than the rate of Moore's Law — intelligence costs are in freefall, outpacing comparative technologies like compute, DNA sequencing, and lithium batteries (epoch.ai)
submitted 1 week ago by beep@piefed.world to c/technology@lemmy.world
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cross-posted from: https://piefed.world/c/tech/p/1434965/the-price-of-ai-is-crashing-faster-than-the-rate-of-moore-s-law-report-suggests-intellig

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[–] humanspiral@lemmy.ca 2 points 6 days ago

What technical, fundamental reason is there for the crash in price?

Smaller models are inherently faster, and use less gpus to fit inside, and less gpu time per training step. Newer models are smarter at smaller size than older models, and so also come up with correct answer in fewer tokens.

There are 15 labs accross the world competing without patent restriction for software building. It's orders of magnitude faster than Moore's law, because its highly competitive, and software has massive "compiler" resources thrown at it, in investor/government frenzy.