VENDOR RISK4 MIN READ

What happens when your AI vendor raises prices.

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In March 2025, a 22-person electrical contractor in Phoenix built their entire workflow around a cloud AI platform. Lead scoring, job scheduling, customer follow-ups, invoice generation — all powered by API calls to a model they didn't own.

In June, the vendor raised prices by 40%. The contractor's AI spend went from $1,800/month to $2,520/month overnight. No new features. No performance improvements. Just a pricing page update and an email that said 'we're adjusting our plans to reflect the value we deliver.'

They had three options: pay more, rebuild on a different vendor (same problem, different timeline), or stop using AI entirely.

This is the fundamental problem with rented intelligence. You build workflows, train your team, develop muscle memory around a platform — and then someone else decides what it costs.

Open-weight models running on local hardware eliminate this risk entirely. The model weights are yours. The hardware is yours. Nobody can raise the price on a machine you already own.

The next time someone pitches you a cloud AI tool, ask one question: what happens to my business if you double your prices next year?

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Own the machine. Own the intelligence.