Falling AI token prices are fueling demand — Jevons paradox at work, per a16z data
The Decoder · rss · 2026-10-11
The Decoder reports a Jevons paradox in the AI market based on a16z data: token prices keep falling while H100 GPU rental prices hold steady or climb, as cheaper AI drives demand faster than costs drop. That's Jensen Huang's best-case scenario—but if demand flattens, the entire chain from chip makers to cloud providers takes a hit.
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