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AI isn’t magic, and it definitely isn’t free. We sit down with Ken from Pega Systems to get brutally practical about the economics of enterprise AI: why token costs are a symptom, why infrastructure spend is so high, and how “murky ROI” happens when companies deploy AI for novelty instead of measurable business value.
From Ken’s perspective as a former CFO and current COO, the best mental model is surprisingly simple: treat AI like a utility. If electricity has taught us anything, it’s that the winners don’t just consume more, they manage consumption better. We talk about how to reduce waste, how to avoid paying for frontier-model overkill, and why boards and finance teams are starting to demand tokenomics tied to outcomes. We also dig into a provocative corner of the market: incentives that can turn the AI ecosystem into a circular hype machine unless leaders insist on real examples and hard metrics.
We then shift to what this means inside large organizations. Agentic AI can accelerate judgment-heavy work in finance, legal, HR, and marketing, while deterministic workflows still anchor reliability in core operations. Finally, Ken shares career advice for the next generation: as execution gets automated, the premium rises on strategy, product management, and validation skills, plus the curiosity to keep learning as roles evolve.
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