Palantir CEO Slams Overuse of AI as 'Mental Addiction'

Alex Karp, CEO of US data analytics and AI company Palantir, has criticized the tech industry's 'tokenmaxxing' trend, comparing it to 'mental addiction' and even pornography addiction. In an interview at Palantir's AIP conference, Karp said some users burn through AI tokens without getting real value.

Palantir CTO Shyam Sankar previously warned that more tokens lead to lower quality output. Tokens are basic units in large language models, and companies pay based on usage. Karp believes AI is real but has limited practical results so far.

Uber COO Andrew MacDonald shared similar concerns, saying rising AI costs don't clearly connect to efficiency gains. Karp stressed that while AI handles simple tasks, complex business problems still need solid processes and expertise—large language models can't replace that.