Vendors' AI Costs Fell 90%. Your Renewal Bill Rose 20–37% Anyway.
Vendor AI infrastructure costs fell 40–90% since 2024. Renewal asks still rose 20–37%. Here's where the gap actually goes, and the playbook that claws most of it back.
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Vendor AI infrastructure costs fell 40–90% since 2024. Renewal asks still rose 20–37%. Here's where the gap actually goes, and the playbook that claws most of it back.
Three major AI coding tools switched to metered billing in 2026, and one vendor’s 24-hour near-miss on plan access showed how thin the flat fee always was. Here’s what actually drives the bill, and how to budget it.
Outcome-based AI pricing promises vendors only get paid for results. But the definition of 'resolved' is written by the vendor, and silence-as-consent clauses can bill an unresolved, frustrated customer as a win.
For a decade, pushing for annual contracts was table stakes in B2B SaaS. AI usage-based pricing is changing the calculus — and the replacement structures are more interesting than a simple retreat to monthly billing.
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