Both Baumol effect and Jevons paradox may apply to the AI supercycle, as services with AI productivity gains get cheaper, while those without AI become costlier
and gets pricier as wages rise (Baumol effect). Alex Danco / @alex_danco : The Baumol effect (I still like calling it “cost disease") is topical these days - we wrote about it in the newsletter, since...
Google says the median Gemini app text prompt consumes 0.24Wh of energy, about the same as running a microwave for a second, and emits 0.03g of CO2 equivalent
an official report confirms that Gemini consumes per query: — 0.24 Wh of energy (~9 seconds of TV) — 0.03 g of CO2 equivalent — 0.26 ml of water (about 5 drops) — blog: cloud.google.com/blog/prod...
Sam Altman says “our GPUs are melting” due to ChatGPT's viral image generation and OpenAI plans to temporarily introduce some rate limits
OpenAI had to place free users on a waitlist for a while, “our GPUs are melting” Shelly Palmer : Our GPUs Are Melting: The Real Cost of AI Image Generation The Economic Times : As ChatGPT Ghibli-style...