Amid largescale layoffs by tech giants with the rationale of cost cutting through the use of Artificial Intelligence (AI) with the latest being Meta which laid off about 8,000 workers globally for AI-powered automation, the rising cost of AI usage has come as a rude awakening for a company which had reportedly received a whopping USD 500 million bill in a month for Claude.
According to a report in Axios, an AI consultant has recently said that one of their clients received the mammoth bill as they failed to enforce a usage limit on Claude by its employees. In Indian currency, the company ended coughing up about Rs 4,770 crore on AI in just one month.
The revelation arrives as a growing number of firms begin reassessing their AI spending amid mounting costs. Microsoft, for instance, has reportedly scrapped a large portion of its Claude Code subscriptions.
Uber, too, has previously acknowledged that it exhausted its yearly AI budget within just five months.
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