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Value-for-money AI models reshape spending, frontier model sales wobble

Lower-cost AI models are increasingly influencing corporate spending on high-end offerings from Anthropic and OpenAI, a Financial Times report said, citing Ramp’s analysis of spending data from 70,000 companies. Anthropic’s top-tier Fable 5 accounted for about 11 percent of spending on Anthropic tools more than two months after launch. Analysts cited price and sufficient performance of older models. The shift may affect frontier AI developers investing billions of dollars in larger models.