The AI subsidy is ending, and waste is about to become a line item (opens in new tab)

*By Cameron McClellan* Both frontier labs filed for IPOs this month, and their pricing pages had already announced what the prospectuses will confirm: the subsidized era of AI is over. Anthropic submitted a confidential draft S-1 on June 1, OpenAI followed on June 8, and companies preparing to face public markets price their products to make money, not to win adoption. The repricing is already starting. OpenAI's newest flagship costs exactly twice its predecessor per token. So does Anthropi...