#token-cost
3 posts
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Why the Cheapest LLM Can Cost You the Most
A lower cost per token does not mean a lower bill. Here is how a cheaper model runs up more spend through retries, verbose output, and reasoning tokens, and how to compare LLM cost by the finished task instead of the token.
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Why AI Bills Keep Rising While Token Prices Fall
Token prices drop about 10x a year, yet AI spending is forecast to hit $2.59 trillion in 2026. This is the Jevons paradox for AI, and the fix is measuring your own consumption.
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AI Pricing Models: Why Token Cost Breaks Usage-Based and Subscription SaaS
When the unit of work is a metered token with a variable, often invisible cost, flat subscriptions and usage tiers stop mapping to value. The case for outcome-based pricing, and why it needs token-cost measurement first.