{"title":"AI Strategy and Pricing","description":"\u003cp\u003eMost of the money in AI has gone upstream. Chipmakers gained about $9 trillion in value between late 2022 and September 2026, against $246 billion for the companies everyone said would win, and Who Makes Money in AI by Nitin Kumar maps the twelve positions in the AI stack and the margin, capital, cash timing and rebuild speed each one sets.\u003c\/p\u003e\u003cp\u003ePricing AI Products covers the decisions inside a company: the value metric, packaging and margin choices that decide how much of what an AI product creates ever reaches revenue.\u003c\/p\u003e\u003ch2\u003eQuestions\u003c\/h2\u003e\u003ch3\u003eWho makes money in AI?\u003c\/h3\u003e\u003cp\u003eSo far, the companies upstream. Chipmakers gained about $9 trillion in value between late 2022 and September 2026, against $246 billion for the companies everyone said would win.\u003c\/p\u003e\u003ch3\u003eHow should an AI product be priced?\u003c\/h3\u003e\u003cp\u003eStart from the value metric, then package and protect margin, because every model call carries a real cost. Pricing AI Products covers usage, token and outcome pricing, tiering and raising prices on existing customers.\u003c\/p\u003e\u003ch3\u003eWhat makes an AI application defensible?\u003c\/h3\u003e\u003cp\u003eIts position in the stack. A system of record keeps about 52 cents of each revenue dollar, and 49 after the capital charge, while a wrapper differs from it by more than fifty times on the compounding test.\u003c\/p\u003e","products":[{"product_id":"pricing-ai-products","title":"Pricing AI Products: The Monetization Playbook for Startup Founders","description":"\u003cp\u003e\u003cstrong\u003eYour price decides what you can build.\u003c\/strong\u003e An AI product can win users and still run out of money, because what you charge, how you package it and how you change prices decide how much of the value you create ever reaches revenue.\u003c\/p\u003e\n\u003cp\u003ePricing AI is harder than pricing traditional software. Costs rise with every model call, buyers want to pay for results instead of seats, and the market resets every few months. Pricing AI Products gives you a method for the pricing decisions that matter most, with real numbers and examples from the companies setting the pace.\u003c\/p\u003e\n\u003ch3\u003eInside the book\u003c\/h3\u003e\n\u003cul\u003e\n\u003cli\u003eChoosing the value metric and pricing model, including usage, tokens and outcomes\u003c\/li\u003e\n\u003cli\u003ePackaging and tiering so buyers pick the plan you intend\u003c\/li\u003e\n\u003cli\u003eProtecting your margin when every model call carries a real cost\u003c\/li\u003e\n\u003cli\u003eMoving from SaaS pricing to AI pricing while keeping the customers you have\u003c\/li\u003e\n\u003cli\u003eRaising prices on existing customers without a revolt\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003cp\u003eWritten for founders, product and marketing leaders, and investors who want AI products that make money for the company selling them.\u003c\/p\u003e\n\u003ch3\u003eAuthor\u003c\/h3\u003e\n\u003cp\u003eNitin Kumar is a global multi-scale CEO with two exits who has run startups and multi-billion-dollar P\u0026amp;Ls, and a globally recognized pricing expert who has coached more than 100 founders on pricing. He also wrote Who Makes Money in AI, Build and Operate AI Companies, and The Startup Pivot Playbook.\u003c\/p\u003e\n\u003ch3\u003eFormat\u003c\/h3\u003e\n\u003cp\u003ePaperback, printed to order and shipped to you. ISBN 9798992302400.\u003c\/p\u003e","brand":"Pivot Playbooks","offers":[{"title":"Default Title","offer_id":67736770380005,"sku":"9798992302400","price":29.99,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0852\/8665\/0085\/files\/Pricing_AI_Products_PaperbackWrap_8e35426b-4af3-4e83-a608-ed7071589ed9.png?v=1792354636"},{"product_id":"who-makes-money-in-ai","title":"Who Makes Money in AI: A Field Guide for Founders, Operators, and Investors","description":"\u003cp\u003e\u003cstrong\u003eNine trillion dollars went to the companies that make the chips. Two hundred and forty-six billion went to the ones everybody said would win.\u003c\/strong\u003e\u003c\/p\u003e\n\u003cp\u003eWho Makes Money in AI is written for founders picking a layer of the AI stack, operators defending one and investors pricing it. Between the end of 2022 and September 2026 the money moved upstream and stayed there, and this book traces where it landed.\u003c\/p\u003e\n\u003cp\u003eTwelve positions carry the AI stack. Each one sets four numbers before anyone at the company touches them: gross margin, the capital a dollar of revenue requires, when the cash arrives, and how fast the asset has to be rebuilt. A system of record keeps fifty-two cents of a revenue dollar, and forty-nine after the capital charge, on twenty cents of capital. A model owner keeps sixty, and minus a hundred and forty after the same charge. Execution moves a company inside its position, and changing position takes years.\u003c\/p\u003e\n\u003ch3\u003eThe mispricings\u003c\/h3\u003e\n\u003cul\u003e\n\u003cli\u003e\n\u003cstrong\u003eThe application layer is priced with too little dispersion.\u003c\/strong\u003e A real system of record and a wrapper differ by more than fifty times on the compounding test, and the venture market prices them inside a factor of two.\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003ePower and land look cheap against the constraint they gate.\u003c\/strong\u003e The layer added $323 billion while gating a position that added $8.7 trillion, and capital cannot clear an interconnection queue.\u003c\/li\u003e\n\u003cli\u003e\n\u003cstrong\u003eCompute landlords look expensive against their credit quality.\u003c\/strong\u003e They keep about a fifth of what they bill, against counterparties funded by the same market that funds them.\u003c\/li\u003e\n\u003c\/ul\u003e\n\u003cp\u003eThe book closes on one rule for anyone writing a check: underwrite the position before the company, because being right about the team and wrong about the layer is the most expensive mistake in this market.\u003c\/p\u003e\n\u003ch3\u003eFormat\u003c\/h3\u003e\n\u003cp\u003ePaperback by Nitin Kumar, 343 pages, 6 by 9 inches. Printed to order and shipped from the US, UK or Canada.\u003c\/p\u003e","brand":"Pivot Playbooks","offers":[{"title":"Default Title","offer_id":67759393079525,"sku":"9798992302424","price":39.99,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0852\/8665\/0085\/files\/Who_Makes_Money_in_AI_Front_Cover_1800x2700_62662b64-3115-4f2e-a3c5-f2a569b3eab3.jpg?v=1792446852"}],"url":"https:\/\/pivotplaybooks.com\/collections\/ai-strategy-and-pricing.oembed","provider":"Pivot Playbooks","version":"1.0","type":"link"}