🦔Microsoft canceled its internal Claude Code licenses this week after token-based billing made the cost untenable, even for a company with effectively infinite cloud resources. Uber's CTO sent an internal memo warning the company burned through its entire 2026 AI budget in just four months. American AI software prices have jumped 20% to 37%, and GitHub (owned by Microsoft) is dropping flat-rate plans for usage-based billing across its products.
My Take
The AI subsidy era is ending in real time. The same company that put $13 billion into OpenAI and built the Azure infrastructure powering most of Anthropic's compute just looked at the bill from a competitor's coding tool and decided it was not worth paying. That is not a productivity failure on Anthropic's end. Token-based pricing is forcing every enterprise customer to confront the actual cost of running these models at scale, and the number turns out to be far higher than the flat-rate experiments suggested.
This ties directly to my Gemini Flash post yesterday. Anthropic, OpenAI, and Google all raised effective prices in the last six months. Enterprises that built workflows assuming AI costs would keep falling are now watching annual budgets evaporate in months. Two outcomes look likely from here. Either enterprises scale back AI usage to fit budgets, which slows the revenue ramp the labs need to justify their valuations ahead of IPOs, or the labs cut prices and absorb the losses, which makes the unit economics worse at exactly the wrong moment. Both paths land in the same place, the numbers stop working, and somebody has to take the writedown.
Hedgie🤗
Operation BBQ Relief has deployed to Lake Jackson, Texas in response to Hurricane Beryl. If you have any information or require assistance, including mass feeding needs, please contact us at [email protected].
#OperationBBQRelief#DisasterResponseTeam
NAVIGATING THE BRAVE NEW WORLD OF API TESTING with KARATE
API testing is transforming the software landscape, allowing teams to achieve broader functional coverage and streamline the entire testing process. But how do you harness its full potential?
Our upcoming training session with Zachary Griesbach and Siddharth Ram delves deep into this topic, guiding you on how to use the right tools to amplify your ROI.
Learn how to navigate this new terrain of API testing confidently and ensure your software releases are top-notch.
Moderated by Joe Colantonio
Register now: https://t.co/ZCdubHPjhI
Welcoming Zachary Griesbach to Karate Labs Advisory Board.
Karate is used by 550+ companies, including 76 of the F500. With marquee brand names as customers, we aspire to be the top solution for API testing in #Banking, #Insurance, #FinancialServices, #Software, #Travel & #Hospitality industry.
While Karate has established a position as one of the leading test automation platforms, we need to incorporate industry specific features to become the top test automation solution in the focus industry verticals. To get the right industry guidance and insights, we have established an Advisory Board comprising of industry experts, starting with Insurance. It is our pleasure to have Zachary Griesbach join Karate Labs Advisory Board.
During his 15 years in the Guidewire ecosystem, Zachary Griesbach has worked as a customer, as a partner, and for the past 10 years, as an employee of Guidewire Software directly. In addition to holding a variety of hands-on, strategy, and leadership roles in Delivery Services, Product Development, Product Management for Automated Cloud Updates, Automated Cloud Assurances, the Guidewire Testing Framework, aspects of performance, and Testing Standardization, Zac was leading globally diverse cross-functional teams focused on building customer cloud update automation, from self-enrolment through automated checks, gates, delivery, health, validation, and more.
In his current role, Zac is a Client Partner for marquee Guidewire customers.
Zac, welcome to the Karate Labs Advisory Board. We look forward to your strategic guidance, mentoring and having you part of our journey.
@ishnae@bakkap77@ptrthomas
Check out @Wiscopter on Larry Smith Outdoors 🦌🚁🌡️
https://t.co/pbtKke3vWF…
TV Schedule (CST):
WI & Fox Sports North
Sun@7:30am
CW-18 Milwaukee
Sun@10am
Sportsman Channel
Sun@3pm
Mon@10am
Tue@6am
Fri@5am
CarbonTV: https://t.co/OLQuqVepWC
KOTV
https://t.co/guTBlN9Oj8
Be careful if considering to book at the Sandals Curaçao property
The onsite management admit, its not ready, and they need at least 6 more months.
(individual experiences vary)
https://t.co/nkXRoUpfn8