Uber chief warns no link yet between AI tokenmaxxing and shipping successful products — company pumps the brakes on all-out AI spending
Source: Tom’s Hardware
Uber COO warns no proven link between AI token spending and product success
Uber President and COO Andrew Macdonald cautioned that there is not yet a demonstrable connection between higher AI token usage and the delivery of useful consumer features, effectively putting the brakes on “AI token‑maxxing.”
Speaking on the Rapid Response podcast (via Business Insider), Macdonald said, “That link is not there yet, right?” when asked about using AI to ship consumer‑focused features.
Podcast excerpt
Macdonald’s headline quote came from a segment discussing Uber’s effort to shape products with an eye on “what’s better for the consumer.” The conversation highlighted the use of large language models (LLMs) to meet key marketing goals—addressing consumer wants and needs more effectively than competitors.
He noted, “We’re working with pretty much all of the large model companies.” However, management has not yet seen a clear link between AI‑service spending and successful product launches. So far, “there hasn’t really been anything that’s taken off yet.”
Industry context
The podcast host, Bob Safian, referenced disappointment expressed by Duolingo employees and management about AI adoption in the workplace. Employees complained that AI was being pushed for its own sake, creating new workloads such as checking and reinforcing tasks (Tom’s Hardware article). Duolingo’s leadership acknowledged that AI/LLMs do not fit every scenario.
Macdonald agreed that “the headline stats make your head explode” when companies discuss AI usage (Tom’s Hardware on token‑maxxing). He urged that management should evaluate the actual productivity gains and the number of new AI‑driven products before continuing to increase spend.
Recent Uber AI spending news
Last month, Uber’s CTO Praveen Neppalli Naga told The Information that the company had already exhausted its Claude Code budget for 2026 by April. This rapid burn‑rate likely sparked heated discussions in Uber’s boardroom and may signal a shift in philosophy toward more disciplined AI investment.
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