The Astonishing Decline in AI Costs
GaryMarcus · x · 2026-07-19
A chart compares the price decline of PCs versus AI/LLMs, concluding that the price of intelligence is plummeting. AI costs have dropped over a 3-year period at a rate comparable to what PCs experienced over 15 years.
The graph plots three curves: a PC price index, an LLM model price index, and a quality-adjusted "price-to-intelligence ratio." The author's point is that AI isn't just getting smarter; it's becoming incredibly cheap, incredibly fast.
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