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Data andanalyticsleaders must evaluate the impact of the price war and scale GenAI solutions.

Senior Director Analyst at Gartner covering AI in data and analytics.

A graphic image of a cloud set in a digital background.

Many organizations that have implemented on-premises GenAI solutions are not directly affected by these price changes.

For those utilizing cloud deployment, API cost constitutes just a component of the overall GenAI solution cost.

However, the continuous decrease in API prices will likely drive a revaluation of AI deployment strategies.

On-premises deployments, while still relevant, may face challenges in keeping up with the rapid pace of innovation.

This shift is driven by the continuous decline in API prices and the advantages offered by cloud deployment.

As technology evolves and architectures become more complex, the benefits of cloud solutions will become increasingly evident.

Leveraging cloud LLM APIs, analyze the data collected from pilot use cases to inform future deployment strategies.

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