AI is changing the economics of enterprise software, infusing unpredictable consumption that could become the biggest threat to both provider margins and client ROI. Drawing on ISG research, deal data, benchmarks, and real-world engagements, this session reveals how tokens, consumption units, usage-based pricing, and variable demand forces a fundamental rethink of pricing, contracting, and governance.
One ISG engagement highlights the stakes: redesigning an AI pricing model reduced five-year contract value by 46% eliminating inflation increases, annual true-ups, and significant long-term pricing risk as pricing is being tested. Attendees will learn and discuss token and consumption risks, challenges, commercial challenges, guardrails to help with competitive advantage through smarter pricing, stronger protections, and models that give clients the confidence to scale.