Tokens Get Cheaper and Then What?

October 1, 2026

Fortune has a great opening line for its article, “The Latest ‘Crack In The Thesis’ For The Trillion Dollar AI Boom: Tokens Are Getting Cheaper”: “Almost everything in the AI economy is a bet about the future.” Everything about AI is a bet, but it is more apt to describe it as a race where everyone is betting on a undetermined winner and there will probably never be one, especially with the way the race is going.

All AI companies are pushing their products, services, and capital? ? through the same bottleneck of 2% GDP a year. The idea is they are operating on the premise that businesses will pay more for smarter AI models or use so much of them it won’t matter. Nvidia CEO Jensen Huang said that these are exponential driving the price of AI computing. The AI agents are becoming more complex and are being used more and more. The problem is that the prices for the AI services are getting cheaper not more expensive. This is bad news for the companies and their stock holders. What is a Big Tech company to do?

“It’s not a disaster or the bubble bursting but it is a “crack in the AI thesis,” Ara Khazarian, the Ramp chief economist who runs the Index, told Fortune. Rather than unleashing a gush of demand for the best models, tokens are starting to be priced more like a commodity– as interchangeable as salt or wheat. And commodity owners aren’t valued at $2 trillion. Morgan Stanley has flagged vulnerability for up to $300 billion in bonds financing neocloud buildouts—CoreWeave-style companies that borrowed to build data centers before signing tenants—if token prices don’t keep up.”

The Big Tech big wigs would love to get away from token counting, but they are stuck with it for the time being. It might be a good thing if these Big Tech companies lose some of their wealth. Then they would lose some of their power and influence on the federal government. No one wants your data centers!

A couple of more efficiency enhancements, and I think that Zitron-type critique gets a gold star.

Whitney Grace, October 1, 2026

Comments

One Response to “Tokens Get Cheaper and Then What?”

  1. webpage on October 1st, 2026 4:52 pm

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