Insight
The Hidden Economics of Enterprise AI
The true cost profile of enterprise AI is broader than model spend and includes utilization, infrastructure efficiency, and operating discipline.
February 8, 2026
By Danny McGinniss
Beyond Model and Cloud Line Items
Most enterprise business cases focus on direct model and infrastructure costs while overlooking second-order operational costs.
Economic Friction Points
- Low utilization of expensive AI infrastructure capacity.
- Underestimated data and orchestration overhead.
- Fragmented ownership across platform, application, and finance teams.
Unit Economics Must Be Explicit
Leaders should define target economics per workload and track performance against clear baselines.
Building an AI Economics Operating Model
- Align finance and technology leadership on shared metrics.
- Set utilization and efficiency targets by workload class.
- Create review cadences that connect technical decisions to enterprise value.
Closing Perspective
The organizations that win with AI will not only innovate faster. They will operate with sharper economic discipline.