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Uber's $1,500/month AI limit is a useful signal for AI tool pricing

simonwillison.net

421–430 of 819 posts

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#421

Earlier quoted context omitted.

Are you saying there are only 30 million people employed in white collar jobs in the world?

About 30 million software developers. At least that's what a quick web search says.

It is not only for devs

https://openai.com/index/codex-for-every-role-tool-workflow/

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#422
post #382

Earlier quoted context omitted.

The examples I gave, and the arguments that usually support them don’t really translate into “building complicated systems”. I was talking about the arguments in support of variable naming flamewars, etc. I’m not proponent of AI generating everything without any supervision as of now. But willing to change my mind when it gets better. Most software engineering jobs are not cutting-edge tech, or research, or solving u…

So I accept that “nonsense arguments are nonsense”, but with some minor differences of opinion. Naming of things matters insofar as you care as a human to actually conceptualize the system you’re building. You can call all of this stuff minutiae, and on some level I kind of agree, except for the general vibe of _caring about the quality of the stuff you produce_. That is something that still matters whether it “works…

I'm sorry, you might be right. But this simply doesn't reflect my daily reality. All I can say is, nobody in my org is creating 10,000 PRs. But everyone is using Claude Code for virtually all commits. We've been doing it since about Opus 4.5ish. So far, so good.

Generally we've modified our timelines heavily, systems are working as intended, company is still making money. There are some AI-authored commits that had mistakes that we didn't catch, but I'm sure this could've been an issue even if all were human-authored. I know first-hand multiple other companies who are doing exactly the same thing.

I agree with "slow is smooth, and smooth is fast" for mission critical systems. But super majority of systems are, indeed, not mission critical.

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#423

Just to put this in context. If every company did this, all over the world, with that same limit, we are talking about something around $45B monthly in revenue for all AI companies to share.

That's a bold assumption. Increasing costs by roughly $18 000 per employee worldwide is highly unlikely. For reference even at FAANG in Europe, that would be a 7-15% cost increase for a senior developer. More like 15-30% for non FAANG and even more for non-European markets.

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#424

I think the main thing companies should try to understand is avoiding the use of 'claude -p'. I definitely have written a goal file, and then just ran claude in a loop over the goal in order to 'token max'... why not? I'm doing research and have some clear KPIs where research into all kinds of techniques / tuning can improve the results. I can spend my budget on a "experiment with blah blah blah to improve blah blah"…

I also randomly wrote some code in a bind yesterday, while I was on the toilet, and it felt so strange. That was the first I'd written in probably 6 months.

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#425

Earlier quoted context omitted.

The issue is he’s not actually balanced at all. I’ve never seen him say anything negative about an AI product.

Days ago he said… “I'm finding that coding agents can take me from a vague idea to a working solution, one with tests and documentation and that looks like a carefully considered project evolved over the course of many weeks... in less than an hour. Even if the code is rock solid, there's a limit to how many projects like that I can sensibly care for - and if they're instantly abandoned, what value was there from cre…

That's not at all negative about LLMs, just negative about his own usage of LLMs. He's still very heavily and unrealistically (unless he has very poor coding standards and skills, which I won't rule out) praising LLMs in the sentences you've quoted.

Note that it's not surprising that he finds his own usage (described in the quote) negative, since his real job is as a blogger, not anything else.

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#426

Just to put this in context. If every company did this, all over the world, with that same limit, we are talking about something around $45B monthly in revenue for all AI companies to share.

There are a lot of places in Europe where 1.5k$ is more than 50% of the total cost of an employee.

And the obvious question: what it's the cost of that revenue? Because it looks huge but ...

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#427

Earlier quoted context omitted.

Isn't all the "knowledge" just text files? I've transitioned between services easily by simply copying the text files.

You can even just instruct the LLM to create a context file for you! They are surprisingly good at that as well.

Studies show that LLM-generated context files have a negative impact on LLM performance: https://arxiv.org/abs/2602.11988

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#428

That's a lot. On my usual day I burn less than $1 on Opus. I could get beyond $10 only if I have a complex and well-defined problem, which is rare (the second part at least).

You must not be using coding agents. You can sneeze and spend $1 on Opus in Claude Code.

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#429

Why there are so many people that still believe that AI coding is a fad? It's something that started less than two years ago and companies are already paying thousands per seat. I know one that gives you 5k per month. Which other tool went from nothing to this level of acceptance so quickly?

Because companies are betting that this spending will allow them to reduce cost by firing people. Right now the AI LLM PRs we're seeing are just introducing more work for other people, while these so-called builders are looking good with their new dashboards and functionality they're demoing. But you can't talk to them about the flow of the code. You can't ask them for their thinking as to why certain things are. It'…

> But you can't talk to them about the flow of the code. You can't ask them for their thinking as to why certain things are.

There are plenty of valid criticisms or warnings about over-reliance on AI coding, but this is not one of them. Today, I am using a semi-autonomous agentic coding system which has an `interview` functionality built in - when it spits out the PR from the input, if you have questions about the motivation or context for a particular choice, you can start up a clone of the original agent in a sandbox to question it.

Now, you might claim that those responses aren't always reliable, accurate, or consistent, and that claim has a little more weight (though, in my experience, decreasingly so) - but it is _certainly_ not the case that you cannot interview an agent about choices made. I'm literally doing it every day.

Re: Uber's $1,500/month AI limit is a useful signal for AI tool pricing

#430

Earlier quoted context omitted.

Today's frontier models will be tomorrows low-end option. I think whatever model you are using today will be less expensive to use a year or two from now.

Last year's o3 was more expensive than 5.5 is. Whatever model we are using now is probably be more expensive than next year's leading models will be.

Isn't 5.5 a router, though? As in, some prompts get automatically sent to a cheaper model?
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