The build-out to make AI adoption widespread will likely come with significant upfront costs. For countries that already deal with constrained public finances, AI’s capital costs could end up “sharpening the policy tradeoff between assuming higher near-term fiscal risk and delaying participation in AI-driven growth opportunities,” the analysts wrote.
However, Ben Barringer, head of technology research at Quilter Cheviot, says any increased costs would be limited by the rate charged by Netflix, which he calls the "price-setter in the market".
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