Why Should AI Intelligence Get Cheaper?

Misha Laskin says the amount of intelligence available per watt will keep increasing, so the cost of intelligence should be driven down as far as possible in order to use more of it. The pattern is a classic Jevons paradox. Intelligence should not be seen as a premium product like an Apple iPhone. Intelligence is more like electricity and water, and it should be a commodity.

The whole system around intelligence is expensive, and there will still be some margin, but margins on inference today are very healthy for both closed model inference and open model inference. On whether very expensive training will bring subsidies like the support federal, state, and local governments give utilities such as electricity and water, the market is too early to tell. Something like that subsidy is only a possibility in some future.