AI usage doesn't equal value, Oracle warns, as businesses struggle with unpredictable costs
- Demand for AI continues to grow, but more AI doesn't mean better returns
- Businesses are underestimating costs as they go from pilot to production
- Seat- and consumption-based pricing both have their places, it seems
Businesses are at risk of confusing generic AI adoption within their workforces with actual meaningful value, Oracle's Head of AI Strategy Hammad Hussain warns, with many of its customers now struggling to manage increasingly unpredictable AI costs.
We already know that three in five businesses agree unpredictable billing hikes cause them more strain than a higher but flatter baseline cost, thanks to a recent Splunk study, but it seems cloud vendors already know this too.
Speaking with a group of journalists at Oracle's recent AI World event, Hussain explained that while demand for AI continue to grow, businesses need to focus more on measurable outcomes than just adopting AI for the sake of it.
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