Has anyone seen any companies successfully reduce costs due to AI, resulting in any sort of addback? We’re working on a company that is showing exactly that, and it’s a first for me. It looks like it will be resulting in a proforma for continued ramp up of benefits.

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Yes. We spent a billion or whatever on AI and based on its current capabilities should pay off in the next million years or so

likefunny

😂

Interested to hear what they actually did. Was the reduced cost due to headcount or something else? What tasks are being performed by AI and saving them money?

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In this case it’s a media company that has eliminated human costs of advertising and marketing. It’s a small company so the cost eliminated so far is only about 50k per year.

This is just standard cost cutting via headcount - no matter how the company wants to spin the story. It’s only defensible to the amount of fat the company can trim via AI.
All you need to do is: (1) take a look at their org chart, (2) figure out which are essential personnel, and (3) cap the addbacks based on employees that can be reasonably reduced.

smart

This is the smartest answer

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Yes. We are a group of former TAS data professionals integrating AI into deal decision and financial contexts. We did help a company price an intangible service they provide which enabled them to
1-limit consumption to appropriate levels and
2-price appropriately.

The use cases are not universal and these essentially are improved automation, the ingestion of unstructured data is just now more feasible than before

Unless it's an algorithmic function like the insurance industry, don't think I've even heard of one story of cost savings, particularly with LMMs.

Unless the business did copywriting or translation id struggle to think of one that could successfully implement savings without taking a hit elsewhere.

50k per year? Sounds like they just laid off an intern 😂

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