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The Low-Cost AI Illusion

Article by Phillip Olla: “For the past few years, artificial intelligence has felt almost miraculously accessible. Nonprofits, schools, public agencies, and social enterprises have been able to use advanced AI tools at little or no cost. Grant proposals, impact evaluations, program curricula, community outreach campaigns, and policy briefs are now routinely “co-written” with AI. This accessibility has been widely described as the “democratization” of AI. But it rests on a fragile foundation.

The reality is the current era of “free” or heavily subsidized AI is a temporary phase, not a stable feature of the technology. As AI shifts from experimental tool to core infrastructure, its underlying economics such as energy, hardware, privacy, and market power are beginning to assert themselves. That will have serious consequences for equity, public interest work, and the organizations that serve communities most affected by social and economic inequality.

The question is no longer whether AI will become a paid, utility-like service. It is whether social sector institutions will help design that future or simply be forced to adapt to it on unfavorable terms…(More)”.

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