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Simon Brooke
@simon_brooke@mastodon.scot  ·  activity timestamp 19 hours ago

Reading Tim O'Reilly's essay on the economic future of #AI, one sentence stands out:

"By product-market fit we don’t just mean that users love the product or that one company has dominant market share but that a company has found a viable economic model, where what people are willing to pay for AI-based services is greater than the cost of delivering them"

/Continued

https://www.oreilly.com/radar/what-if-ai-in-2026-and-beyond/

O’Reilly Media

What If? AI in 2026 and Beyond

The market is betting that AI is an unprecedented technology breakthrough, valuing Sam Altman and Jensen Huang like demigods already astride the world. The
Simon Brooke
@simon_brooke@mastodon.scot replied  ·  activity timestamp 18 hours ago

We've had niches where AI had real cost benefit since the 1980s -- I've designed and led teams on some such systems myself -- but they're rare and they're point solutions, not cheaply generalisable.

Today's #StochasticParrots offer no cost benefit, except in domains where accuracy truly does not matter, and those are rare. In every other domain, the cost of checking their output is higher than the cost of doing the work.

/Continued

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