Patel reports AI spend skyrocketed in Q1 2025 but flattened in Q2 after initial Cloud Code adoption spike.
“spend on employees really skyrocket, especially in the second half of last year and parts of this year, but then like the first quarter of this year, AI spend skyrocketed.”
Patel says continuous AI spend is small; steady total reflects constant new project work across team.
“It's actually just like people doing new work always, which then because we have enough people, it kind of levels out to be like a pretty steady amount of spend.”
Patel says his company's AI coding spend hit $6 million annual run rate, with single engineers spending $8,000.
“Literally, we we you know, like, one day my head of ops was like, guys, our run rate of spend is $6,000,000. This is not sustained.”