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Fortune
Fortune
Technology
Angelica Ang

Prakash Arunkundrum, HP’s first-ever chief strategy and transformation officer, bets edge AI will help companies 'bring the token cost down'

(Credit: COURTESY OF HP)

ChatGPT transformed AI from a niche, behind-the-scenes tool into one of the fastest-growing consumer products in history. That’s only accelerated this year, as use of tokens—the basic building blocks of any AI query—has exploded, thanks to widespread enterprise adoption and the rise of agentic AI platforms like OpenClaw.

That’s caused surging AI costs in enterprises, as their systems start to consume more and more tokens. “Every chat generates a token, and when you scale AI use across organizations, costs start adding up,” Prakash Arunkundrum, HP’s chief strategy and transformation officer (CSTO), tells Fortune. “This is what all the data center guys are trying to solve: How to bring the token cost down.”

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