tech

I asked 4 executives how they measure AI ROI. None started with AI tokens.

As companies rethink AI token spending, four executives told Business Insider what metrics they use to measure return on investment.

I asked 4 executives how they measure AI ROI. None started with AI tokens.

TL;DR

  • Companies are moving away from measuring AI success solely by token consumption, a practice termed 'tokenmaxxing'.
  • Executives are prioritizing metrics that reflect actual business outcomes, such as increased efficiency, improved customer service, and enhanced business performance.
  • Internal AI leaderboards and direct correlations between AI spending and customer value are being questioned.
  • Usage-based pricing models are pressuring companies to demonstrate tangible returns on AI investments.
  • While token usage is still tracked for cost management and adoption rates, it's not the primary indicator of ROI.