ConciseSignal

McKinsey warns AI costs rising for businesses

McKinsey & Company says companies are spending more on AI, even as the cost per unit of AI output drops. The firm’s new survey found about one third of organizations now spend over 10% of their tech budgets on AI, with 60% planning further increases. AI agents, which automate complex tasks, can cause costs to vary by up to 30 times from one run to another. Some businesses report AI spending is straining their budgets.

Why it mattersRising AI usage means companies face growing and unpredictable expenses, which can impact their ability to invest elsewhere or control operating costs.

Sources covering this

Business InsiderMcKinsey warns that AI may get a lot more expensive for companies10:50 PMFortuneMcKinsey: Cheaper AI models, bigger AI bills12:12 PM
Concise Signal DailyEverything that mattered, every weekday at 7am.

More in AI

8 sources · 20h ago

OpenAI cuts prices with new GPT-6 Sol and Luna models

OpenAI just rolled out two new AI models, GPT-6 Sol and Luna, claiming they're both cheaper and more accurate than the previous versions. The cost for Sol and Luna is now half what you'd pay for the GPT-5.6 versions. Sol is aimed at coding, Luna at clerical work like summarizing documents. OpenAI says the new models make fewer mistakes, with Sol reportedly cutting coding errors by about 50%.

20 sources · 16d ago

OpenAI rolls out GPT-6 Astra to most paying users

OpenAI has made its new GPT-6 Astra model available to most paying subscribers a day after its official launch. The rollout, initially described as “messy” by OpenAI’s CEO, now includes ChatGPT Plus, Business, Pro, and Enterprise users, while customers on the lower-priced Go tier do not have access. Astra is also available via the API. OpenAI says the rollout required bringing new systems and additional computing resources online.

18 sources · 14d ago

AI researchers warn of superintelligence risks

Senior AI researchers and former officials have warned that developing artificial superintelligence could carry catastrophic risks. At a UK parliamentary session this week, participants discussed the possibility that AI could pose a threat greater than nuclear weapons, with a top Anthropic scientist stating there's over a 10% chance AI could "kill all humans" within a decade. Lawmakers are considering new legislation to ban superintelligence development.

7 sources · 15d ago

ChatGPT Images 2.5 adds faster editing tools

OpenAI has updated its ChatGPT Images feature to version 2.5, adding several new editing tools and speeding up image generation. You can now remove backgrounds, resize images to preset dimensions, erase items by brushing over them, and use markup and comment functions directly from a new Edit toolbar. According to TechRadar, the features are available in both web and app versions, though OpenAI hasn't formally announced the rollout yet.