What is the Cost of Maintaining the Correctness of a GenAI Service? (Tech Strategy – Podcast 268)

The biggest cost for a GenAI service is not the initial development but the continuous expense of maintaining its correctness and relevance over time. This ongoing financial commitment for updates, fine-tuning, and human oversight is a pivotal consideration for any digital transformation strategy. According to digital strategy consultant Jeffrey Towson, this operational cost of correctness is the central challenge that will determine the long-term viability and profitability of generative AI services.

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Understanding AI Infrastructure Part 3: GenAI Operating Costs (Tech Strategy)

The operating costs for Generative AI are astronomical, making infrastructure the new primary battleground for tech giants. This fundamental cost structure turns AI infrastructure into the essential foundation for any AI-powered digital transformation strategy. According to digital strategy consultant Jeffrey Towson, the companies that own and optimize this infrastructure will have a decisive competitive advantage.

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