Palo Alto Networks CEO Nikesh Arora says the cost of using artificial intelligence—particularly the price of tokens—needs to fall substantially before businesses widely adopt AI systems. Speaking to CNBC, Arora argues that sky-high token costs can limit practical deployment, slowing the pace at which companies can integrate AI into products and operations. He estimates that token prices may need to drop by as much as 90% to unlock large-scale adoption. The Next Web reports that Arora made the comments in response to claims about OpenAI’s newer GPT model, noting that even incremental improvements in model capability may not translate into broad enterprise use if running costs remain too high. Overall, both outlets frame the remarks as a cost-driven adoption barrier and present Arora’s “90%” figure as a rough threshold for more scalable deployment. The statements are focused on token pricing and the economics of running AI workloads rather than changes to specific model performance or features.
Palo Alto Networks CEO says AI token costs may need to drop 90% for scale
Palo Alto Networks CEO Nikesh Arora says the cost of using artificial intelligence—particularly the price of tokens—needs to fall substantially before businesses widely adopt AI systems. Speaking to C...
- Palo Alto Networks CEO Nikesh Arora says AI adoption at scale is constrained by token costs.
- Arora tells CNBC that token prices may need to fall as much as 90%.
- Both outlets present the comments as a response to recent claims about new AI model capabilities.
- The discussion centers on the economics of running AI workloads, not on specific product changes.
- The reports agree Arora warns that high token costs could prevent widespread business deployment.
Palo Alto Networks chief executive Nikesh Arora says the cost of running AI needs to plunge before businesses can deploy it at scale. He told CNBC on Thursday that token prices may need to fall by as much as 90%, according to CNBC. Arora was reacting to OpenAI’s claim that its new GPT-5.6 model is 54% […] This story continues at The Next Web
4 hours agoPalo Alto Networks CEO Nikesh Arora said high token costs could prevent businesses from adopting artificial intelligence at scale.
5 hours ago
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