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Apple CEO Tim Cook warns AI-driven price increases are unavoidable (www.tomshardware.com)
submitted 4 months ago by to c/technology@lemmy.world
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[+] -6 points 4 months ago (12 children)

Interesting how it's driving up hardware costs and driving down software costs

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  • [–] 8 points 4 months ago (11 children)

    Why do you think it's driving down software costs?

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  • [–] 0 points 4 months ago (10 children)

    I can see it's driving down costs, I work in industry. Lots of competitors have popped up with AI apps with lower prices. There's a reason it's called the SaaS apocalypse

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  • [–] 9 points 4 months ago (9 children)

    Well as a person who is working as a software developer I wouldn't be so hasty.

    You can write more code, but that has never been a real bottleneck. Understanding and maintenance of this code is another matter altogether.

    Add to that the price of AI subscriptions are currently heavily subsidized by venture capital and even with the subsidies tokens turn out to be more expensive than people.

    Also no one is calling it SaaS apocalypse.

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  • [–] -2 points 4 months ago (8 children)

    https://www.economist.com/business/2026/06/10/fear-of-the-saaspocalypse-is-tormenting-techland

    https://www.forbes.com/sites/donmuir/2026/02/04/300-billion-evaporated-the-saaspocalypse-has-begun/

    https://techcrunch.com/2026/03/01/saas-in-saas-out-heres-whats-driving-the-saaspocalypse/

    https://www.risingtrends.co/blog/saas-apocalypse-trend

    It is very much being called the SaaS apocalypse...

    Where are AI subscriptions subsidised for enterprise use? Github copilot was the last to drop the subsidised model for big business at the start of the month as far as I can tell. Only individuals and very small businesses are getting subsidised subscriptions now, and it's still super economical and cost efficient to use even frontier models at API billing rates compared to humans. A human can work all day on debugging a software defect, or Opus can find the root cause in ten minutes for $20. Sure that still needs reviewing but that's insane productivity AND cost improvement

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  • [–] 4 points 4 months ago

    This is more of a parallel of the video game crash that happened before. When the video game consoles created a bubble in the US every body suddenly started creating video games, to the point many were so bad they were literally unplayable. When the market got flooded with bad games, people stopped buying games (since no one trusted the quality anymore), leading to a crash in the industry: https://en.wikipedia.org/wiki/Video_game_crash_of_1983

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  • [–] 3 points 4 months ago (3 children)

    For my projects, finding the cause of a bug is rarely a problem once it’s reported. It’s fixing it in a way that doesn’t negatively impact things upstream or downstream that’s a pain.

    How’s AI supposed to help when we’ve got to negotiate with several other stakeholders on what changes we’re going to make?

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  • [–] -1 points 4 months ago (2 children)

    So because you talk to people sometimes, there's nothing AI can assist on? That doesn't really make any sense

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  • [–] 2 points 4 months ago (1 child)

    I think op meant that when you know your project and infrastructure debugging is not that big of an issue. Solving a problem affecting multiple parties can be more complicated.

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  • [–] 3 points 4 months ago

    Yeah fixing that one problem isn’t an issue. It’s that the fix probably affects some other service. When you’re dealing with a bunch of integrated systems, some of which are over a decade old, bugs aren’t just fixing a few lines of code in your part and calling it good.

    I’m sure it can be useful for smaller self contained projects. A lot cheaper and easier to review the AIs changes on those too.

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  • [–] 2 points 4 months ago (2 children)

    Only individuals and very small businesses are getting subsidised subscriptions now

    How is not a single AI company profitable then?

    it's still super economical and cost efficient to use even frontier models at API billing rates compared to humans.

    No

    A human can work all day on debugging a software defect, or Opus can find the root cause in ten minutes for $20

    Yeah or it can delete your prod database without asking you. Additionally the heavy use of AI can lead to comprehension debt meaning no one can understand it. AI is good if it has the data but usually the data is not only code it's Kafka and infrastructure and other ongoing outages that may be related and logs.

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  • [–] -1 points 4 months ago (1 child)

    https://aitoolsrecap.com/Blog/anthropic-first-profit-2026-revenue-breakdown

    An article about companies forgetting to set budgets? Wow that trumps the claim that correct application of AI is more productive and cost effective than human work

    Why the fuck would you give it full unfettered access to your production system?

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  • [–] 2 points 4 months ago

    correct application of AI

    The Scottish are calling they want their only true Scotsmen.

    Why the fuck would you give it full unfettered access to your production system?

    You shouldn't, but the less access you give to it, the less info it has, the more inefficient it is.

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