AI Jargon Buster
AI news and the language around it, simplified.
What is a Cloud Credit?
Cloud credits are a form of digital currency provided by major technology companies to help businesses pay for computing power and data storage. Think of them like a gift card for a company's digital infrastructure. Tech providers often give these credits to startups, researchers, or business partners to encourage them to build and test their software on a specific platform. Once these credits are exhausted, the organization must pay for ongoing services with cash. They function as a way for providers to lock in long-term customers while helping those customers manage the high upfront costs of building new technology.
Why this matters to you
Cloud credits act as a financial bridge for your team. They allow you to experiment with expensive AI tools and large-scale data processing without needing a massive upfront budget. This lowers the risk of innovation, as you can test if a new AI project is actually useful before committing your company's own capital to the monthly subscription fees.
How you might hear this
We secured a grant of cloud credits from our vendor, which gives us enough runway to prototype our new customer service bot without hitting our department budget this quarter.
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