That's a poor definition. Nowhere have I seen cheapness as being a requirement to count as AGI. If we have something that can do everything people can do and more, but it costs a lot means it's not AGI?
Here's one definition AI 2027 used [1]: "Superhuman coder (SC): An AI system for which the company could run with 5% of their compute budget 30x as many agents as they have human research engineers..."
So you could technically have AGI without entering a true AGI era. "95% as good as an average Harvard graduate across the board, but it costs $5 million/year to run" is impressive and scientifically interesting, but not economically transformative.
But if it costs $50,000/year to run, then everything changes really fast. And not necessarily in a good way.
They get this much money not because their work is worth this much. It's just how the system is set up.
AGI couldn't be CEO BECASUE it can't receive millions of dollars in compensation the same way potato can't. Getting this much money is what the CEO does. Apart from that they do very little when summed up.
Now, if you have an AGI that can reliably and repeatedly do Einstein-level science, then I'd argue that we're starting to talk about ASI, aka, "superintelligence." Which would be providing something that humans can't consistently produce at any cost. So cost becomes much less relevant.
But if the best you can do is replace an ordinary smart human for $5 million/year, you have to compete with ordinary smart humans. Who are abundant and who very rarely cost more than $500,000/year, if you're willing to shop around and gamble a bit.
(You'll forgive me for conflating humanity and intelligence - we are homo spaiens, after all. Thinking man.)
I'm not _confused_ why these "AI" "Labs" are using that definition though. It's extremely clear they're trying to eliminate the need for the non-owner class. They're not selling LLMs (some companies are, but not these companies). These companies are selling the idea of labor without laborers to people who hate and fear laborers - and their utter dependence on them - more than anything else in their lives.
Really looking forward to the scam collapsing. Crypto wasn't very satisfying to me because too many of the victims were just idiots. This time, it's class warfare.