AI coding token costs are on track to rival human payroll

Companies are set to spend nearly as much on AI coding tokens as they do on their developers' salaries in the next two years, according to Gartner. This shift is driven by the rising use of generative AI and agentic tools, which are changing how businesses manage their infrastructure costs. This trend signifies a move toward consumption-based licensing, impacting how companies balance their investment in technology with overall profitability. It's a significant development as it highlights the growing value and cost implications of AI in software development.