The Electricity Bill Nobody Can Pay:The Mathematics of an AI Collapse
This is exactly why i encourage everyone, even the βhatersβ to just use the fuck out of all these AI companies, keep lighting their money on fire with stupid pointless slop, when it all crashes and burns weβll have some really decent LOCAL LLMs that can run on a cell phone if you want them to.
βThe math doesnβt work. It has never worked. It will never work.
The free tier era of AI is ending. Not because the technology failed, but because physics and economics are unyielding.
When it ends, weβll face a choice: pay $20β40/month for closed models, or pay $200β400/year to run open models ourselves.
The math suggests most people will choose the latter. Not out of ideological preference, but because itβs 10β50x cheaper.
The $600 billion bet was that AI could be a consumer product at scale. The electricity bill alone proves it canβt be β at least not as a free service.
We have about 12β18 months before the math forces everyoneβs hand.β