Cheaper AI is better: Soaring bills are reshaping how businesses choose models

Silicon Valley’s powerful and pricey AI models have been a necessity for businesses looking to future-proof themselves. But now a ​growing number of tech CEOs are arguing that cheaper options would be crucial for their wider adoption.

Top executives such as Microsoft’s Satya Nadella, Palo Alto Networks’ Nikesh Arora and Coinbase Global’s Brian Armstrong have said smaller, cheaper models can handle a big share of corporate needs.