> The reason why AI companies are spending so much money is to rollout data centres to run the AI in the first place. These expenses are one-off purchases, not regular operating expenses. Once all the data centres are built, AI spending is going to plummet.

Because hardware doesn’t need updates. Newer hardware is more capable which gives competitors with newer hardware an advantage.

> Outside of these expenses, AI doesn't cost that much to run

Outside the expensive stuff it’s cheap.