LLM token prices crash 55% from May peak, now below where the year started
GaryMarcus · x · 2026-10-29
Per Rand Group research (data from Silicon Data / Bloomberg), the LLM Token Price Index — a compute-expenditure-weighted index — has fallen 55% from its May peak and now sits below its level at the start of the year.
Great news for anyone using AI, but a squeeze for AI companies spending $165B a quarter on capex: inference revenue per token keeps shrinking while compute spending stays elevated.
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