AI billing stuck in Edison's era: Shift from token counts to value-based pricing
AccBalanced · x · 2026-08-19
The post draws an analogy between the current AI industry and the early days of electricity. Providers precisely count tokens (similar to charging per lamp), but users care more about the value of the output.
Historically, Edison charged a flat rate per lamp until 1888, when Shallenberger invented the practical AC meter, allowing consumption-based pricing. This suggests the AI industry may eventually shift from token-based billing to value-based pricing.
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