this post was submitted on 13 Jul 2026
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cross-posted from: https://discuss.online/post/42512590

Speaking during an interview on CNBC's "Squawk on the Street" segment earlier this week, CEO of cybersecurity giant Palo Alto Networks Nikesh Arora implored the tech industry to lower the cost of AI.

During the segment, the chief executive argued that the cost to use large language models (LLMs) has to drop by 20 percent by 2027 — and 90 percent by 2028 — for the tech to be useful to enterprises.

"We need to see the pricing for AI come down," Arora said.

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[–] reallykindasorta@slrpnk.net 7 points 2 weeks ago (1 children)

Zooming out, Arora's pleas for cheaper AI are instructive. For your average CEO, the ostensible value of any AI tool is in its ability to automate human workers and either slash payroll costs or keep them low — hence the trillions of dollars capitalists have poured into the industry.

I think companies should understand by now that adding a machine to replace workers usually reduces profit since the exploitation of human labour is where the profit comes from. The machine costs the same for every company (and produces the same efficiencies) and every company must buy the machine to match competitor productivity. Sort of an inflation effect where the threshold goes up for everyone.

The people making money are the ones selling the machines, and they’ll do their best to be sole manufacturers and maintainers just like John Deer.

[–] folaht@lemmy.ml 2 points 2 weeks ago* (last edited 2 weeks ago)

I think company CEOs should better understand that AI companies are not meant to replace workers for CEOs.
They're meant to replace their companies with AI company branches as they consider all work done on their AI applications as shared ownership for them to use how they see fit, just like e-mail, and this includes branching out to the type of companies other CEOs work for and those CEOs can't fire AI datacenters and demand they hand over their data, because that's not in the contract.

[–] mistermodal@lemmy.ml 3 points 2 weeks ago

Absolute brain day skipper

[–] TomMasz@lemmy.world 3 points 2 weeks ago

Stop slaving away at companies that don't give a fuck about you.