Jevons in One Chart: Intelligence Got 99% Cheaper and We’re Using 500x More
🚨 Jevons in one chart. Intelligence got 99% cheaper and we’re using 500x more of it.
Chart via Andreas Steno Larsen (@AndreasSteno).
Same Sentence, Two Headlines
This is why “AI prices are collapsing” and “AI demand is exploding” are the same sentence. Cheaper tokens don’t shrink the market. They create the market.
That’s Jevons Paradox: make a resource cheaper and people don’t use less of it. They find a hundred new ways to use more.
The Shakeout and the Shortage
It’s also why the shakeout and the shortage can both be true at once. Price per token falls. Compute demand doesn’t.
The money flows to whoever owns the capacity, the power and the memory that serve it.
Still Early
Spending goes up. Spending per unit goes down. Still early.
Not financial advice. Do your own research.
Originally posted on X by Rosanna Prestia, MBA (@RosannaInvests): https://x.com/RosannaInvests/status/2117009316423315950
