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AI token demand set to surge 78% despite 19% price drop, Accenture finds

Reported by Pooja Nair (Section Editor) · Livemint - Technology ·

Unconfirmed — Reported by one source so far

Reported by one source so far

Worth knowing
AI token demand set to surge 78% despite 19% price drop, Accenture findsPhoto: Wikimedia Commons

AI token consumption is projected to rise 78% in the next two years, likely erasing any cost savings from an expected 19% drop in average token prices, Accenture Research reports. The report says token prices will fall about 19% over the next 24 months, while usage will "skyrocket" by roughly 78%. It warns that lower unit costs do not automatically mean lower overall spend. Only 35% of organisations can precisely calculate the cost per business outcome for their biggest AI use case, suggesting many lack clear return data. The study examined how firms might use any price‑cut savings: if prices fall 25% or more, just 5% would keep the savings, 42% would broaden AI access to more employees, and 35% would launch applications previously deemed too costly. Executives see the extra capacity as a chance to boost growth, innovation and customer service. In the survey, 60% plan to shift the freed‑up capacity to higher‑value or strategic work, and 51% intend to invest it in growth initiatives. While 70% say AI mainly augments human effort, only 4% say it replaces workers. Accenture urges businesses to continuously track AI spending versus value and to reallocate released capacity where it creates the greatest benefit.

Context

Rising AI usage often follows price drops because cheaper compute encourages more projects. However, without clear metrics on cost per outcome, firms can end up spending more even when each unit costs less.

ExplainerWhy this matters

What Happened

Accenture Research found that AI token prices are likely to drop about 19% over the next 24 months, but token consumption is expected to jump roughly 78% in the same period, meaning overall AI spend may not fall.

Why It Matters

When each AI token becomes cheaper, companies tend to run more AI tasks, which can push total spending up despite lower unit costs. The report shows most firms (only 35%) cannot clearly link AI spend to specific business outcomes, making it hard to judge whether the extra usage adds value. Without proper measurement, businesses risk overspending while assuming savings from lower prices.

What Happens Next

Accenture advises firms to set up systems that track the cost of AI‑driven outcomes and to regularly review how AI capacity is allocated. Companies are likely to channel the extra capacity into growth, innovation and higher‑value work, but they will need disciplined cost‑benefit analysis to ensure the additional spend translates into real business benefits.

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