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All issuesVolume 322, Issue 5IT NewsAI

The Crisis Of AI's Hidden Costs

InfoWorld, Tuesday, January 28th, 2025

Overprovisioning cloud resources to handle AI has sparked an epidemic of sky-high cloud bills. Adopt these strategies to control cloud spending.

The AI gold rush is creating an unexpected problem: massive waste in resource provisioning. Cloud cost overruns inevitably lead to a lack of true ROI for these systems. Many enterprises spend $2 to get $1 of benefits. That dog won't hunt.

Recent data shows a staggering reality of organizations hemorrhaging money through overprovisioned cloud resources, with only 13% of provisioned CPUs and 20% of memory being utilized.

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