IBM’s $10 billion bet on what comes after AI

0:04I'll say something provocative.

0:07I think foundation models are going to become commodities.

0:10I think that right now the token price on all of these is going to go way up.

0:15It just has to justify the capital investments.

0:19That's Arvind Krishna, CEO of IBM.

0:22And he has a strong metaphor for current AI systems that are just not the right size for all uses.

0:29I guess you could, for those in the suburbs, take your kids to school in an 18-wheeler every morning.

0:35You could go milk shopping in an 18-wheeler.

0:38Then you'd ask yourself, is it really the most effective vehicle for that?

0:42I think right now we're using the 18-wheeler for everything.

0:46This is Masters for Scale.

0:48I'm Bob Safi and your host.

0:50IBM is playing a distinctive role in the AI race, not building AI models, but betting on how best to use them and on what comes after them.

0:59In this conversation, recorded in front of a live audience as part of New York Tech Week at IBM's Manhattan HQ, we dig into why Arvin thinks most enterprises are using an 18-wheeler for every task.