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AI engineers are being deployed as consultants and getting paid $900 per hour

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AI engineers are being paid a premium to work as consultants to help large companies troubleshoot, adopt, and integrate AI with enterprise data—something traditional consultants may not be able to do.

PromptQL, an enterprise AI platform created by San Francisco-based developer tooling company Hasura, is doling out $900-per-hour wages to its engineers tasked with building and deploying AI agents to analyze internal company data using large language models (LLMs).

The price point reflects the “intuition” and technical skills needed to keep pace with a rapidly-changing technology, Tanmai Gopal, PromptQL’s cofounder and CEO, told Fortune

Gopal said the company hourly wage for AI engineers as consultants is “aligned with the going rate that you would see for AI engineers,” but that “it feels like we should be increasing that price even more,” as customers aren’t pushing back on the price PromptQL sets.

“MBA types… are very strategic thinkers, and they’re smart people, but they don’t have an intuition for what AI can do,” Gopal said.

Gopal declined to disclose any customers that have used PromptQL to integrate AI into their businesses, but says the list includes “the largest networking company” as well as top fast food, e-commerce, grocery and food delivery tech companies, and “one of the largest B2B companies.”

Oana Iordăchescu, founder of Deep Tech Recruitment, a boutique agency focused on AI, quantum, and frontier tech talent, told Fortune enterprises and startups are competing for senior AI engineers at “unprecedented rates,” and which is leading to wage inflation.

Iordăchescu said the wages are priced “far above even Big Four consulting partners,” who often make around $400 to $600 per hour.

“Traditional management consultants can design AI strategies, but most lack the hands-on technical expertise to debug models, build pipelines, or integrate systems into legacy infrastructure,” Iordăchescu said. “AI engineers working as consultants bridge that gap. They don’t just advise, they execute.”

AI consultant Rob Howard told Fortune he wasn’t surprised at “mind-blowing numbers” like a $900-per-hour wage for AI consulting work, as he’s seen a price premium on projects that have an AI component while companies rush to adopt it into their businesses.

Howard, who is also the CEO Innovating with AI, a program to teach people to become AI consultants in their own right, said some students of his have sold AI trainings or two-day boot camps that net out to $400 or $500 per hour.

“The pricing for this is high in general across the market, because it’s in demand and new and relatively rare to find, you know, people who are qualified to do it,” Howard said.

A recent report published by MIT’s NANDA initiative, revealed that while generative AI holds promise for enterprises, 95% of initiatives to drive rapid revenue growth failed. Aditya Challapally, the lead author of the report and a research contributor to project NANDA at MIT, previously told Fortune the AI pilot program failures did not fall on the quality of the AI models, but the “learning gap” for both tools and organizations.

“Some large companies’ pilots and younger startups are really excelling with generative AI,” Challapally told Fortune earlier this month. Startups led by 19- or 20-year-olds, for example, “have seen revenues jump from zero to $20 million in a year,” he said. 

“It’s because they pick one pain point, execute well, and partner smartly with companies who use their tools,” he added.

Jim Johson, an AI consulting executive at AnswerRocket, told Fortune the $900-per-hour wage “makes perfect sense” when considering companies have spent two years experimenting with AI and “have little to show for it.” 

“Now the pressure’s on to demonstrate real progress, and they’re discovering there’s no easy button for enterprise AI,” Johnson said. “This premium won’t last forever, but right now companies are essentially buying insurance against joining that 95% failure statistic.”

Gopal said PromptQL’s business model to have AI engineers serve as both consultants and forward deployed engineers (FDEs)—hybrid sales and engineering jobs tasked with integrating AI solutions—is what makes their employees so valuable.

This new wave of AI engineer consultants is shaking up the consulting industry, Gopal said. But he sees his company as helping shift traditional consulting partnership expectations and culture. 

“The demand is there,” he said. “I think what makes it hard is that leaders, especially in some of the established companies… are kind of more used to the traditional style of consultants.” 

Gopal said the challenge for his company will be to “drive that leadership and education, and saying, ‘Folks, there is a new way of doing things.’”

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Coupang CEO resigns over historic South Korean data breach

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Coupang chief executive officer Park Dae-jun resigned over his failure to prevent South Korea’s largest-ever data breach, which set off a regulatory and political backlash against the country’s dominant online retailer.

The company said in a statement on Wednesday that Park had stepped down over his role in the breach. It appointed Harold Rogers, chief administrative officer for the retailer’s U.S.-based parent company Coupang Inc., as interim head.

Park becomes the highest-profile casualty of a crisis that’s prompted a government investigation and disrupted the lives of millions across Korea. Nearly two-thirds of people in the country were affected by the breach, which granted unauthorized access to their shipping addresses and phone numbers.

Police raided Coupang’s headquarters this week in search of evidence that could help them determine how the breach took place as well as the identity of the hacker, Yonhap News reported, citing officials.

Officials have said the breach was carried out over five months in which the company’s cybersecurity systems were bypassed. Last week President Lee Jae Myung said it was “truly astonishing” that Coupang had failed to detect unauthorized access of its systems for such a long time.

Park squared off with lawmakers this month during an hours-long grilling. Responding to questions about media reports that claimed the attack had been carried out by a former employee who had since returned to China, he said a Chinese national who left the company and had been a “developer working on the authentication system” was involved.

The company faces a potential fine of up to 1 trillion won ($681 million) over the incident, lawmakers said.

Coupang founder Bom Kim has been summoned to appear before a parliamentary hearing on Dec. 17, with lawmakers warning of consequences if the billionaire fails to show.

Park’s departure adds fresh uncertainty to Coupang’s leadership less than seven months after the company revamped its internal structure to make him sole CEO of its Korean operations. In his new role, Rogers will focus on addressing customer concerns and stabilizing the company, Coupang said.

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Databricks CEO Ali Ghodsi says company will be worth $1 trillion by doing these three things

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Ali Ghodsi, the CEO and cofounder of data intelligence company Databricks, is betting his privately held startup can be the latest addition to the trillion-dollar valuation club.

In August, Ghodsi told the Wall Street Journalthat he believed Databricks, which is reportedly in talks toraise funding at a $134 billion valuation, had “a shot to be a trillion-dollar company.” At Fortune’s Brainstorm AI conference in San Francisco on Tuesday, he explained how it would happen, laying out a “trifecta” of growth areas to ignite the company’s next leg of growth.

The first is entering the transactional database market, the traditional territory of large enterprise players like Oracle, which Ghodsi said has remained largely “the same for 40 years.” Earlier this year, Databricks launched a link-based offering called Lakehouse, which aims to combine the capabilities of traditional databases with modern data lake storage, in an attempt to capture some of this market.

The company is also seeing growth driven by the rise of AI-powered coding. “Over 80% of the databases that are being launched on Databricks are not being launched by humans, but by AI agents,” Ghodsi said. As developers use AI tools for “vibe coding”—rapidly building software with natural language commands—those applications automatically need databases, and Ghodsi they’re defaulting to Databricks’ platform.

“That’s just a huge growth factor for us. I think if we just did that, we could maybe get all the way to a trillion,” he said.

The second growth area is Agentbricks, Databricks’ platform for building AI agents that work with proprietary enterprise data.

“It’s a commodity now to have AI that has general knowledge,” Ghodsi said, but “it’s very elusive to get AI that really works and understands that proprietary data that’s inside enterprise.” He pointed to the Royal Bank of Canada, which built AI agents for equity research analysts, as an example. Ghodsi said these agents were able to automatically gather earnings calls and company information to assemble research reports, reducing “many days’ worth of work down to minutes.”

And finally, the third piece to Ghodsi’s puzzle involves building applications on top of this infrastructure, with developers using AI tools to quickly build applications that run on Lakehouse and which are then powered by AI agents. “To get the trifecta is also to have apps on top of this. Now you have apps that are vibe coded with the database, Lakehouse, and with agents,” Ghodsi said. “Those are three new vectors for us.”

Ghodsi did not provide a timeframe for attaining the trillion-dollar goal. Currently, only a handful of companies have achieved the milestone, all of them as publicly traded companies. In the tech industry, only big tech giants like Apple, Microsoft, Nvidia, Alphabet, Amazon, and Meta have managed to cross the trillion-dollar threshold.

To reach this level would require Databricks, which is widely expected to go public sometime in early 2026, to grow its valuation roughly sevenfold from its current reported level. Part of this journey will likely also include the expected IPO, Ghodsi said.

“There are huge advantages and pros and cons. That’s why we’re not super religious about it,” Ghodsi said when asked about a potential IPO. “We will go public at some point. But to us, it’s not a really big deal.”

Could the company IPO next year? Maybe, replied Ghodsi.



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New contract shows Palantir working on tech platform for another federal agency that works with ICE

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Palantir, the artificial intelligence and data analytics company, has quietly started working on a tech platform for a federal immigration agency that has referred dozens of individuals to U.S. Immigration and Customs Enforcement for potential enforcement since September.

The U.S. Citizenship and Immigration Services agency—which handles services including citizenship applications, family immigration, adoptions, and work permits for non-citizens—started the contract with Palantir at the end of October, and is paying the data analytics company to implement “Phase 0” of a “vetting of wedding-based schemes,” or “VOWS” platform, according to the federal contract, which was posted to the U.S. government website and reviewed by Fortune.

The contract is small—less than $100,000—and details of what exactly the new platform entails are thin. The contract itself offers few details, apart from the general description of the platform (“vetting of wedding-based schemes”) and an estimate that the completion of the contract would be Dec. 9.Palantir declined to comment on the contract or nature of the work, and USCIS did not respond to requests for comment for this story.

But the contract is notable, nonetheless, as it marks the beginning of a new relationship between USCIS and Palantir, which has had longstanding contracts with ICE, another agency of the Department of Homeland Security, since at least 2011. The description of the contract suggests that the “VOWS” platform may very well be focused on marriage fraud and related to USCIS’ recent stated effort to drill down on duplicity in applications for marriage and family-based petitions, employment authorizations, and parole-related requests.

USCIS has been outspoken about its recent collaboration with ICE. Over nine days in September, USCIS announced that it worked with ICE and the Federal Bureau of Investigation to conduct what it called “Operation Twin Shield” in the Minneapolis-St. Paul area, where immigration officials investigated potential cases of fraud in immigration benefit applications the agency had received. The agency reported that its officers referred 42 cases to ICE over the period. In a statement published to the USCIS website shortly after the operation, USCIS director Joseph Edlow said his agency was “declaring an all-out war on immigration fraud” and that it would “relentlessly pursue everyone involved in undermining the integrity of our immigration system and laws.” 

“Under President Trump, we will leave no stone unturned,” he said.

Earlier this year, USCIS rolled out updates to its policy requirements for marriage-based green cards, which have included more details of relationship evidence and stricter interview requirements.

While Palantir has always been a controversial company—and one that tends to lean into that reputation no less—the new contract with USCIS is likely to lead to more public scrutiny. Backlash over Palantir’s contracts with ICE have intensified this year amid the Trump Administration’s crackdown on immigration and aggressive tactics used by ICE to detain immigrants that have gone viral on social media. Not to mention, Palantir inked a $30 million contract with ICE earlier this year to pilot a system that will track individuals who have elected to self-deport and help ICE with targeting and enforcement prioritization. There has been pushback from current and former employees of the company alike over contracts the company has with ICE and Israel.

In a recent interview at the New York Times DealBook Summit, Karp was asked on stage about Palantir’s work with ICE and later what Karp thought, from a moral standpoint, about families getting separated by ICE. “Of course I don’t like that, right? No one likes that. No American. This is the fairest, least bigoted, most open-minded culture in the world,” Karp said. But he said he cared about two issues politically: immigration and “re-establishing the deterrent capacity of America without being a colonialist neocon view. On those two issues, this president has performed.”



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