Amazon CEO Andy Jassy says AI costs will come down over time even as company invests 'aggressively'

Amazon CEO Andy Jassy on Thursday released his annual shareholder letter where he predicted that rapid advancements around artificial intelligence, along with a more competitive chip market, will eventually bring down costs around the technology. "AI does not have to be as expensive as it is today, and it won't be in the future," Jassy wrote. Jassy said more price-performant chips, along with improvements in "model distillation, prompt catching, computing infrastructure, and model architectures" will over time reduce the "cost per unit in AI," which will "unleash AI being used as expansively as customers desire." He likened it to the company's cloud juggernaut, which brought down the cost of compute and storage, leading to "more invention, better customer experiences, and more absolute infrastructure spend." Amazon has earmarked up to $100 billion this year on capital expenditures, with the lion's share going to AI-related projects. The company has been rushing to invest in data ce ... Read full article.