A familiar scenario is playing out all over corporate America: CEOs are meeting with their top tech executives and asking, “What are we doing with AI?”
So the tech exec goes in search of generative AI ideas to trial only to discover that training an AI model using the company’s own data will cost millions in cloud computing costs. Plus, training isn’t a one-time thing. AI models must be regularly fed.
Training an OpenAI-style model — known as a transformer model — takes lots of data, about six-times the number datapoints than the number of parameters the model will use to produce the asked-for result, Guido Appenzeller, former CTO of Intel’s Data Center, said on an A16z podcast.
Since cloud computing fees are based on things like the amount of data uploaded and processed, companies spent an average of $4 million to train Chat GPT 3 apps, a Forrester analyst told CNBC last year,and more advanced models like GPT 4 could cost even more. AI …