Artificial intelligence (AI) is no longer just a concept in sci-fi movies–it has become a necessity in the 21st century, where technology is embedded into the lives of people. It’s even seeped into the professional realm.
For businesses that hope to get into AI, the price tag is usually a barrier. Artificial intelligence can cost anywhere from $6,000 to $300,000 for a custom solution. But how do businesses even use artificial intelligence, and is it actually worth it? Generally, companies integrate AI to optimize their operations and those that do often report great returns on investment (ROI).
A great way to save on artificial intelligence costs is to hire an AI expert on Guru to help you determine the best options for your business and ensure that you’re getting the most out of your budget.
The cost of artificial intelligence ranges between $6,000 to $300,000 for a custom solution, with the price varying based on multiple factors. That said, you can pay for AI at a cheaper rate, though those are typically pre-built services that have limits on customization. Alternately, some AI solutions can cost millions of dollars, but those numbers are only really seen in corporations like Amazon, Netflix, or Google, which handle millions of customers and triple the amount of data.
Factors That Affect the Cost of Artificial Intelligence
Here are some of the factors that can determine how much you’ll pay for an AI solution:
Type of AI
The type of artificial intelligence that you’d like to implement will determine the amount of work needed to be done, what hardware is required to roll it out, and what software must be developed to ensure that it works properly. Businesses can choose from a variety of AI solutions, from chatbots to data analytics to personalization bots.
A pre-built solution will be cheaper but will have limited customization, while custom solutions can be designed as you want but will come with a higher price tag. For example, a pre-built chatbot can be installed on a subscription basis for as low as $99 a month. Meanwhile, a custom-built one usually starts at $6,000.
Complexity of the Solution
Algorithms are a critical factor in AI development, and their accuracy rate can affect the cost significantly. The more accurate the algorithm needs to be, the more expensive it will cost. For example, if you’re making a face recognition system that requires at least 99% accuracy, then you’re bound to pay a hefty price. Some AI solutions allow for a larger margin of error, which can translate into lower accuracy (which isn’t always a bad thing for different applications) and a lower price.
Amount of Data
Artificial intelligence relies on data to function. The amount and structure of the data it feeds on will affect its development and performance and, consequently, its overall cost. AI can ingest both structured and unstructured data. The former is easier since the technology needs less work to decipher; the latter, however, will require AI experts to develop more complex algorithms that will enable the solution to gather and work through the information.
To develop and implement artificial intelligence, businesses will need to hire a small team of AI engineers. What do artificial intelligence engineers do? They develop AI systems and apps for businesses, often working hand-in-hand with data scientists and software developers.
The cost for these AI experts can amount to thousands of dollars. To save, you can hire a team of freelancers from Guru, instead. That way, you only pay hourly or one-time fees and don’t have to worry about other overhead costs.
Training and Maintenance
Once you have your AI solution up, you’ll also have to consider training and maintenance to keep it running. Training can mean hiring an AI consultant or providing courses to employees who will handle the systems, and maintenance will involve hardware and software upkeep.
Is Artificial Intelligence Worth It for My Business?
Artificial intelligence can be expensive, and whether or not it’s worth it for your business will ultimately depend on your end goals. Most companies report great ROI with their AI solutions in the form of boosted productivity, increased sales, or improved customer experience—or all of the above.
It’s good to remember, though, that you can save on AI costs by being smart about your approach, knowing exactly what you need, and exploring your options.
Hire an AI Consultant on Guru to Get Started
As you venture into the world of AI for your business, it’s good to have an experienced AI consultant by your side to help guide you in determining the best solutions for you at the right prices. Hire an AI consultant from Guru today to get started!