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Amazon CEO Says High AI Costs Leave Enterprise Market Untapped

Andy Jassy said AI labs and businesses seeking cost cuts are at opposite ends of demand, with model-running costs limiting the potential market between them.

An accelerator board sits under a focused work light / TokenPost.ai (macro)
An accelerator board sits under a focused work light / TokenPost.ai (macro)

Amazon CEO Andy Jassy said high costs to run AI models are keeping a potential enterprise market untapped, even as AI labs and businesses seeking to cut costs drive demand.

Jassy described AI labs as one end of demand and cost-conscious enterprises as the other. High inference costs — the expense of running AI models — are limiting the potential market between those groups, he said.

The remarks point to a challenge in making AI more economically viable for broader enterprise use. Amazon has also promoted its Trainium AI accelerators.

John Kim

John Kim reports on the digital-asset business for TokenPost. Send corrections or tips to info@tokenpost.com.

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