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Palo Alto Networks CEO urges 90% cut in AI token costs to boost enterprise adoption.

Market News
09 Jul 2026
CNBC
View Source
Neutral
Palo Alto Networks CEO urges 90% cut in AI token costs to boost enterprise adoption.

Palo Alto Networks CEO Nikesh Arora stated that AI token costs must decrease by up to 90% to enable widespread enterprise adoption. Despite recent improvements like OpenAI's 54% more token-efficient model, Arora believes further reductions are needed within the next two years. High token prices currently hinder many businesses from fully implementing AI tools, prompting calls for more affordable pricing. This issue is gaining attention among tech leaders as AI spending rises and companies seek sustainable investment strategies.

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