Australia’s biggest bank says corporate AI is racking up bigger bills and producing ‘work slop’
CBA chief executive Matt Comyn used the phrase ‘work slop’ to describe the low-quality AI output now flowing through corporate workflows, as token-billed AI costs scale with task complexity.
Australia’s biggest bank says corporate AI is racking up bigger bills and producing ‘work slop’ Commonwealth Bank CEO Matt Comyn has identified two significant challenges in corporate AI adoption: rapidly increasing operational costs and the generation of low-quality “work slop.” Token-based pricing for AI services is scaling faster than anticipated as task complexity grows, leading to higher-than-budgeted expenses. Furthermore, insufficient quality control results in AI-generated content that degrades workflows, necessitating costly rework.
- Corporate AI adoption faces two main problems: rising costs and “work slop” (low-quality output).
- The cost of running generative AI is increasing substantially faster than budgeted due to task complexity driving up token consumption.
- “Work slop” refers to low-quality AI-generated text, code, and analysis that degrades internal workflows when used without sufficient quality control.
- Token-based pricing models are leading to significant operational expenses as task complexity increases non-linearly.
- This “work slop” problem is analogous to the “AI slop” seen with image generation tools, impacting corporate knowledge work.
- The cost-benefit ratio for AI is tightening for large institutions, leading to increased scrutiny of AI spending and pressure to demonstrate ROI.
- Falling per-token prices have been offset by rising per-task token consumption as companies move from pilot to production AI use cases.
- A “procurement-discipline phase” for AI is predicted to continue through 2026. Continue reading https://thenextweb.com/news/cba-comyn-work-slop-ai-token-costs
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