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No no, the value proposition is not that it's cheaper. It's more consistent. 24/7, same output, no sick days or vacation, no own opinion... It does what you tell it, to the T.
The cost is the same and paid by the companies to the ai suppliers. Same as with the medication that cured hepatitis. The pharmaceutical company calculated the total cost of care for a terminal hepC patiënt, and then set the price of the medication to 80% of that.. it's cheaper so we're the good guys.
Corporations will charge what the market will bare.
Haha, saying that it does everything to the T shows how little you have used generative AI, as it seems to hallucinate every now and then or return inconsistent results on more complex prompts.
And the worst part is that the AI is still like a black box and it is extremely difficult to compare the quality of different prompts, as it will return all the time different outputs if you ask it the same thing.
Additionally, I truly believe we are currently in the AI honeymoon period where people have extremely high expectations about the capabilities of the AI and we will soon reach a threshold of what the generative AI can achieve which will be like a awakening for the whole industry.
Just look at the self driving cars who were predicted to show up on the streets and we still don't have a full Level 4 capable car.
It was a hyperbole, but perhaps I should have said "it is good enough for many tasks".
Sure are a customer service rep it might give a customer the occasional refund, or as an HR rep it might award some extra leave. The bottom line is that it does not need to be perfect, humans are not either.
And the honeymoon period, for sure. A lot of people project their wishes on ai, and the selling people are more than happy not to correct them. And as long as Space Karen can get away with selling stuff that has not panned out and race 0 reprecussions.. why wouldn't others do it.
The examples we (the collective we) get from those at the perceived top of our society, is blatant lies, Grift, theft, more lies.. and it pays off! Companies selling AI are no different, there is no downside to over promising and under delivering.
But I stand by the reason why this is not going to bring proces down.