AI Economics 2025

The Price of Intelligence: AI Agent Pricing in 2025

Why your pricing model is already obsolete, the shift to outcome-based pricing, cost commoditization, and the race to unlimited. A comprehensive analysis of 13+ real pricing strategies.

Pricing really just can't be a set it and forget it exercise. Most companies think about pricing like this once a year or maybe twice a year change. Instead you want to think about pricing like this continuous exercise and evolution.

β€” Chz, Co-founder and CTO, Orb

~20 min watch
Chz, Orb
AI Engineer Conference 2024

The New Pricing Paradigm

From Cost-Plus to Value-Based

The most confident AI companies are pricing on outcomes, not usage. This signals product maturity and creates natural ROI conversations with customers.

The insight: When Intercom charges $0.99 per resolution, they're not pricing on tokensβ€”they're pricing on successful outcomes. This aligns incentives and shows confidence in their AI agent's performance.

Watch Intercom pricing analysis
πŸ’°

Outcome-Based Pricing

Charge for results: $0.99/resolution, percentage of recovered revenue

πŸ”„

Continuous Evolution

Pricing changes multiple times per month, not annually

πŸ“‰

Cost Commoditization

Token costs plummetingβ€”OpenAI costs down drastically in 18 months

Your margin is your opportunity β€” the famous Jeff Bezos framework applied to AI agents. Companies that understand this are investing in inference optimization and model routing to unlock pricing power.

β€” Chz, referencing Jeff Bezos

13 Real Pricing Models Analyzed

Outcome-Based
Intercom logo

Intercom Finn

$0.99 per resolution β€” you only pay for successful customer support resolutions

"You're only paying for the success of fin"

Outcome-Based

Chargeflow

Percentage per recovered chargeback β€” no fee until recovery succeeds

"You're not paying anything until chargeback recovery is successful"

Complex Multi-Axis
Cursor logo

Cursor

$20/$40 tiers with hidden complexity: completions vs requests, fast vs slow, premium models cost extra

"Completions, requests, fast requests, slow requests, GPT-4.40, Claude 3.5 Sonet..."

Compute-Based
Cognition logo

Devon (Cognition)

Monthly + ACUs β€” compute resources scaling with VM time, inference, networking

"Pretty hard to translate engineering work into acus"

Prepaid Credits

Clay

Credits system β€” from $100 trials to multi-million dollar enterprise deals

"Prepaid credits generalize across very different use cases"

Unlimited + Model Routing

Jasper

Unlimited credits β€” model decision engine routes to OpenAI/Anthropic/Cohere

"Built model decision engine to pull from OpenAI, Anthropic, Cohere"

The Four Pricing Principles

1. Consider Your Target Audience

Match pricing to their buying process

SMB: Individual developer, credit card, self-service checkout.
Enterprise: Procurement teams, budgeting against traditional solutions, sales-led process.

Key insight: "It's not just who they are but the whole buying process they're involved in"

2. Simplicity & Predictability (Never Compromise)

Two things that almost never should be compromised

People have easier time making purchasing decisions when pricing is simple. Predictability of spend is crucial with usage-based models.

Quote: "Two things that almost never should be compromised are Simplicity and predictability"

3. Think About Use Cases You're Encouraging/Discouraging

Pricing shapes behavior

What workloads is your product a great fit for? Those are the sorts of things you want to encourage. Pricing should align with your ideal customer workloads.

Strategic insight: Use pricing to guide customers toward your product's strengths

4. Defend Your Margin (But Don't Over-Index on Cost)

Costs will change rapidly

Cost will actually change pretty rapidly β€” OpenAI's cost per token has decreased drastically over the last 1.5 years. Take the R&D innovation and pass that down in your cost structure.

Action: "Take the R&D, the ultimate technical innovation of your company and pass that down in your cost structure"

Watch cost optimization examples

Case Studies: Technical Innovation β†’ Pricing Power

Character.AI: Inference Optimization for Scale

Character.AI serves 20% of Google search queries with 100M daily active users spending almost an hour per day on the platform.

The bet: In 2022-2023, they invested heavily in inference infrastructure optimization to make their business model viable.

The lesson: For consumer products with heavy usage, R&D in inference cost reduction isn't optional β€” it's existential.

Jasper: Model Routing Enables Unlimited Pricing

Jasper moved to unlimited credits because marketers couldn't think in "word counts" β€” they needed to iterate fast on marketing copy.

Technical implementation: Built a "model decision-making engine" that pulls from OpenAI, Anthropic, Cohere to pick the right model for each job.

Strategic insight: Technical innovation (model routing) enabled pricing innovation (unlimited), which reinforced their value proposition.

Cognition logo

Devon: The Buyer Cognitive Load Challenge

Devon charges monthly + compute resources (acus scaling with virtual machine time, inference, networking bandwidth).

The problem: "It's pretty hard to translate that [engineering work] into acus... adding these new paradigms does have some cost associated with it because now buyers need to think about workload and translate that into acus"

The lesson: Introducing new pricing metrics creates buyer cognitive load β€” you're asking them to learn a new language.

2025 Predictions

1. Price Wars Continue

"Race to the bottom on some pricing and some verticals" β€” as inputs get commoditized and competition increases

High Confidence

2. Push Toward Unlimited Plans

More companies offering "effectively unlimited plans" as inputs commoditize and competition heats up

High Confidence

3. Outcome-Based Pricing Expansion

"We will lean into this outcome or success based pricing but we'll need to get real about what exactly are the guarantees and the SLAs"

Medium Confidence

4. Increased R&D in Monetization

Underappreciated trend: companies need customer control (throttling, spend caps), visibility into credit burn-down, and usage auditing

High Confidence

The Technical Challenge at Every Stage

Input Stage:

High-volume data infrastructure for metering

Core Stage:

Billing business logic with versioning

Output Stage:

Financial accounting and invoicing

Additional:

Managing customers on legacy price points

Key Takeaways

For AI Startup Founders
  • Stop pricing on tokens β€” price on outcomes your customers actually care about
  • Build pricing flexibility into your architecture from day one (versioning, migrations)
  • Invest in inference optimization β€” it unlocks pricing power, not just cost savings
  • Use prepaid credits as a discounting engine β€” single conversion rate vs. multiple SKU discounts
For Engineering Leaders
  • Invest in billing infrastructure β€” versioning and migrations as first-class features
  • Audit capabilities are essential β€” users need granular visibility into usage
  • Support complex business logic β€” enterprise agreements, discounting, ramps layered on usage
  • Plan for legacy price points β€” customers will stay on old pricing
For Product & Pricing Teams
  • Target your buyer's journey β€” SMB wants self-service, Enterprise wants sales involvement
  • Tell a story with your pricing page β€” logo gardens, metrics, use cases signal who you're for
  • Commoditize your inputs β€” model decision engines, inference optimization unlock new pricing possibilities
  • Prepare for margin pressure β€” competition + VC expectations = need for cost innovation
For Enterprise Buyers
  • Demand usage controls β€” throttling, spend caps, visibility into credit burn-down
  • Require auditing capabilities β€” granular visibility into where AI spend is going
  • Negotiate for flexibility β€” pricing will evolve; lock in ability to migrate to better models
  • Prefer outcome-based pricing β€” aligns incentives and shows vendor confidence

Companies Analyzed

Intercom logo

Intercom Finn

Cursor logo

Cursor

Clay

Replit

Jasper

Cognition logo

Cognition/Devon

Character.AI

OpenAI logo

OpenAI

Anthropic logo

Anthropic

Cohere logo

Cohere

MongoDB logo

MongoDB

Google logo

Google DeepMind

Video Reference

The Price of Intelligence - AI Agent Pricing in 2025

Chz, Co-founder and CTO, Orb β€” Usage-based billing infrastructure company

AI Pricing
Outcome-Based
Billing Infrastructure
2025 Predictions
Watch Full Video

Duration: ~20 min
Event: AI Engineer Conference
Video ID: In7K-4JZKR4
Analysis: Full 48,122 token transcript

Pricing Volatility Disclaimer

All pricing models and examples mentioned were current as of the AI Engineer Conference 2024. Given the rapid evolution of AI agent costs and the "continuous pricing evolution" paradigm discussed, specific pricing details may have changed.

The principles remain valid: Outcome-based pricing, flexibility, and cost innovation are enduring strategies regardless of specific price points.

Analysis based on Chz's talk at AI Engineer Conference 2024. All insights extracted from full VTT transcript (48,122 tokens) with verbatim quotes and real company examples.