Jared Palmer: Cost and reliability will delay agent adoption despite better reasoning
shadcn · x · 2026-08-21
Jared Palmer highlights that even with 10x better reasoning in next-gen models, agents face two major bottlenecks: cost and reliability. Running frontier models in loops is currently unsustainable due to brutal costs and razor-thin margins. He argues that new middleware is required to intelligently select model sizes, manage queuing and batching, and handle state and memory efficiently.
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