AI isn’t cheap: The broken economics and hidden costs behind Claude and ChatGPT explained
The debate over the sustainability of AI models like Claude and ChatGPT has reignited following a viral LinkedIn post by Alex Banks. The post reignited concerns around the economics of artificial intelligence after revealing that a single user of Anthropic’s Claude AI consumed nearly $27,000 worth of computing power while paying just $200 for a monthly subscription.
Alex Banks highlighted the imbalance in simple terms, noting that one user used resources far beyond what they paid for. This incident has now raised serious questions about whether current AI business models are sustainable in the long run.
