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The Cost of Intelligence

It is awe-inspiring to reflect on the velocity of this generational shift. In an incredibly compressed timeline, AI has transitioned from a boardroom novelty into the underlying infrastructure of global enterprise labor.

We are living through a historic economic anomaly: even as raw capability scales exponentially, the unit cost of intelligence continues to plummet toward zero. The future of corporate margin expansion will not belong to those who consume the most compute, but to the strategic architects who best optimize this collapsing cost.

Yet, beneath this cognitive abundance lies a stark paradox. While token unit prices have plunged 99.7% over the last 24 months, actual enterprise AI invoices are soaring—with average budgets expanding from $1.2M to over $7M. This is the structural reality of moving from simple, episodic chatbots to multi-step, autonomous agentic workflows that incur heavy context taxes and recursive reasoning loops.

To help technology and financial leaders navigate this landscape, we just released our latest research and report: The Macroeconomics of the Hyperscale AI Market and the New Enterprise Frontier.

Stop projecting AI margins using outdated software frameworks. Read the full report at the link below to master the new rules of token economics. Let us know in the comments: Are your teams experiencing bill shock, or have you already cracked the code on dynamic model routing?


The macroeconomics of the hyperscale AI market and the new enterprise frontier.

Lincoln Cannon: Are Science and Religion Mutually Exclusive or Complimentary?

Are science and religion enemies or allies?

I recorded this debate 14 years ago, and the question has only gotten sharper.

Lincoln Cannon is a software engineer with degrees in philosophy and business. He is also president of the Mormon Transhumanist Association. So when he argues that science and religion are complementary, he is not speaking from ignorance of either side.

I disagree with him. I think they are mutually exclusive. He thinks they complete each other.

So we sat down and argued it out. Friendly, but real.

This was a special edition of Singularity. FM, and it remains one of the more honest conversations I have had about belief, reason, and what transhumanism owes to both. The questions we wrestled with sit right at the heart of #transhumanism and the #futureofreligion in an age of accelerating #technology.

Geoffrey Hinton: “AI Is Already Conscious” | Big Technology Podcast

The “Godfather of AI” and Nobel laureate Geoffrey Hinton just said the quiet part out loud: he believes today’s AI is already conscious — and that our entire model of the mind is “as wrong as the belief that people were designed by God.” In this clip from the Big Technology Podcast, Hinton dismantles the “stochastic parrot” argument (“I think that’s complete nonsense”), explains why understanding a question is impossible without real comprehension, and walks through the Copernicus → Darwin → AI arc that he says will end humanity’s belief that it is special. Then he turns to the company at the center of the AI safety debate: Anthropic. Hinton argues that a publicly traded AI lab has “a fiduciary duty to maximize profits for shareholders — as opposed to legally required to not wipe out human beings,” and warns that Anthropic is “caught in a bind” trying to stay safe while raising the money it needs to compete. He closes with the line every founder and regulator should hear: progress is the accelerator, regulation is the steering wheel — and the big labs are asking us to let them build a very fast car without one. Chapters: 0:00 “I believe they’re already conscious” 0:05 Why “stochastic parrot” is nonsense 1:40 We’re about to become the cat 3:40 Anthropic is caught in a bind 5:00 Regulation is the steering wheel, not the brake Geoffrey Hinton won the 2024 Nobel Prize in Physics and is often called the Godfather of AI for his foundational work on deep learning and backpropagation. He left Google in 2023 to speak freely about AI risk. 🎙️ Full episode (Big Technology Podcast): • AI Pioneer Geoffrey Hinton: AI Is Consciou… 📺 Frontier Cut curates the sharpest clips from the world’s top AI and business podcasts. New episodes weekly. 🔔 Subscribe: @frontiercut #GeoffreyHinton #AI #Anthropic #AISafety #Superintelligence #AGI #BigTechnologyPodcast

AI, Quantum And The New Cybersecurity Framework Imperative

Understanding these technologies through the lens of resilience, rather than just innovation, is critical for cybersecurity leaders planning for the coming decade.

The key cybersecurity issue of the coming decade will not prevent every breach. It will be about maintaining trust and resilience in an age of increasing digital interdependence.

Organizations that embrace adaptive risk management, quantum preparedness, responsible AI governance, and resilience-by-design will be well-positioned to succeed in the Acceleration Era. The future belongs not only to the most inventive but also to the most trustworthy and resilient businesses.

Stanford Economist: The AI Risk Almost Nobody Is Talking About | Erik Brynjolfsson

Stanford economist Erik Brynjolfsson explains why the greatest danger of artificial intelligence may not be mass unemployment itself, but the concentration of wealth, power, and decision-making in the hands of a small group of companies or individuals.

In this conversation, he discusses the “Turing Trap,” the disappearance and creation of jobs, universal basic income, the future of economic growth, and why businesses should use AI to amplify human abilities rather than simply replace workers. He also explains why AI could become more transformative than the Industrial Revolution, why its impact is still largely invisible in productivity statistics, and which human skills may become increasingly valuable.

00:00 – Introduction.
01:05 – Why companies focus on eliminating jobs.
03:41 – The Turing Trap.
06:51 – Which tasks and jobs should AI replace?
08:35 – Millions of jobs will disappear.
09:25 – Why stopping technological change will fail.
10:48 – Entrepreneurship, security and the jobs of the future.
12:41 – AI, universal basic income and concentrated power.
15:29 – Why AI should complement humans.
17:41 – An economy that no longer needs human consumers.
20:05 – Is the younger generation doomed?
22:38 – How AI could help less-experienced workers.
25:10 – The most valuable human skill in the AI era.
27:24 – Access to AI and the falling price of intelligence.
32:31 – Is the AI investment boom a bubble?
33:44 – Bigger than the Industrial Revolution.
34:36 – Why AI is not yet visible in productivity statistics.
39:29 – Could AI produce explosive economic growth?
41:51 – How Erik Brynjolfsson uses AI in his own work.
45:34 – Will AI replace economists and scientists?
49:53 – Is AI destroying the traditional learning process?
54:46 – Shared prosperity or unprecedented inequality?
56:27 – Could AI replace the free market?

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Inside the Trajectory — How AI Gains Power and Control — Mo Gawdat

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Former chief business officer of google.

Mo Gawdat returns to London Real with a stark warning: artificial intelligence is advancing at breakneck speed, and humanity may be unprepared for its consequences.

The former Google X executive reveals how AI capabilities now double every 5.7 months and warns of an approaching “AI Cold War” driven by unchecked capitalism and fear.

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Oracle PeopleSoft servers hacked in ShinyHunters data theft attacks

Oracle PeopleSoft servers are being targeted in ongoing data theft attacks by the ShinyHunters extortion gang, which claims to have stolen data from over 100 organizations.

PeopleSoft is an enterprise business software suite used by large organizations to manage business operations such as human resources, payroll, finance, supply chain management, procurement, and student administration.

Yesterday, BleepingComputer learned of widespread data theft attacks targeting both cloud and on-premises Oracle PeopleSoft customer instances. These customers were receiving extortion demands that were signed by the ShinyHunters extortion gang.

Claude is Self-Evolving?

In this episode, I break down Anthropic’s research on recursive self-improvement—AI systems that can design and train the next generation with less human help—and why the key battleground is “taste” (choosing goals and next steps). I compare this to evolutionary algorithms and newer examples like DeepMind’s AlphaEvolve, Sakana’s Darwin Gödel Machine, and Karpathy’s AutoResearch, then cover METR Task Horizon and how task length has been doubling. I go through Anthropic’s internal results (Claude writing most merged code, speedup experiments, bug fixes, and a study where models sometimes pick better research next steps), plus the main skepticism: bad productivity metrics, internal-only models, and Goodhart’s Law/reward hacking. I end with an open safety problem where Claude agents closed the gap far faster than humans, and what this means for specifying and checking work.

LINKS:
https://www.anthropic.com/institute/r… voice to text App: whryte.com Website: https://engineerprompt.ai/ RAG Beyond Basics Course: https://prompt-s-site.thinkific.com/c… Signup for Newsletter, localgpt: https://tally.so/r/3y9bb0 Let’s Connect: 🦾 Discord: / discord ☕ Buy me a Coffee: https://ko-fi.com/promptengineering |🔴 Patreon: / promptengineering 💼Consulting: https://calendly.com/engineerprompt/c… 📧 Business Contact: [email protected] Become Member: http://tinyurl.com/y5h28s6h 💻 Pre-configured localGPT VM: https://bit.ly/localGPT (use Code: PromptEngineering for 50% off). Signup for Newsletter, localgpt: https://tally.so/r/3y9bb0 TIMESTAMP: 00:00 Self Improvement Basics 01:30 Evolutionary Loops Today 03:50 Task Horizon Doubling 05:18 Claude Productivity Claims 08:11 Goodhart’s Law 10:30 Agents as Researchers 12:22 What It Means for You.

My voice to text App: whryte.com.
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Let’s Connect:

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📧 Business Contact: [email protected].
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The REAL Reason It’s Already Too Late For Most People

A former Google executive says the West is sleepwalking into irrelevance. Mo Gawdat, the former Chief Business Officer at Google X, explains why every nation that fails to build its own AI infrastructure will become a technology colony of the United States and China, dependent on imported intelligence the way developing nations once depended on imported manufacturing.

Mo draws a direct comparison to how China built its tech independence. When Google operated in China, Russian search engine Yandex was protected by the government through regulation that made it difficult for American companies to dominate. The result was that domestic competitors were forced to exist, and they became competitive. He argues the UK and Europe are doing the opposite: importing every piece of software, every AI model, and every platform from Silicon Valley, sending trillions in licensing fees overseas while building nothing domestically.

Discover:
• Why every nation not building its own AI will become \.

Building a hill-climbing machine: Launching seven new MAI models

The title’s “hill-climbing machine” refers to Microsoft’s iterative, scientifically rigorous engineering framework. By tightly linking clean data pipelines, specialized training infrastructure, and reinforcement learning environments, they have created an optimization loop designed to steadily “climb” toward higher capabilities as compute scales.


Today we are announcing a family of seven new models developed in-house at Microsoft AI. Beyond these models, we’re building a superintelligence lab – a system and an approach we believe will define the next phase of AI.

This is an extraordinary time in technology. The compute used to train frontier models has increased by a factor of one trillion. Now we expect another thousand-fold increase over the next three years, which in turn means more advanced capabilities, and the continued rollout of ever more effective AI.

This epic compute ramp will change the nature of work, business and daily life. We all have to prepare for this reality. Our job at MAI is to help you do this – to push the frontier, and to build a hill-climbing machine to keep you at the frontier.

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