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20VC: How to Survive and Thrive in a World of OpenAI, Are LLMs Being Commoditised, Where Does the Value Lie; Infrastructure or Application Layer, How Apple Could Win in a World of AI, How Amazon Could Threaten OpenAI and Why Google Struggle with Des Trayn
The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch
The Future of Pricing Models in AI
The future of pricing in AI lies in changing pricing models to align with the value being delivered. This includes shifting from per-seat models to consumption models, where businesses choose to keep seats and focus on quality. Pricing should be based on the work being done rather than the number of seats or employees. Consideration should be given to the value of having dynamic digital assets or faster customer service. Pricing should be justified similar to human costs, but with the added benefits of AI. The cost of compute will play a role in determining pricing, and historically, technology has become cheaper over time. As the AI market evolves, there will be a variety of options available, including high-end and cheaper alternatives. Winners in the market may not necessarily have the largest market share.
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