LLM Economics
Token math, model selection, and the true unit cost of every generation.
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LLM EconomicsAI Cost Optimization in 2026: A Practical Guide for Founders
Cut your AI bill in 2026 by working five levers in order, model routing, prompt size, caching, output limits, and inference efficiency, then re-check that your pricing still covers the new cost basis.
LLM EconomicsSelf-Hosting vs API: The Real Cost Math Behind '1/6 the Price'
Self-hosting an open LLM can cost a fraction of a frontier API, but only when your GPUs stay busy. The honest comparison is GPU dollars per hour divided by your actual throughput, versus the API price per token.
LLM EconomicsInference Economics: Why a $13B Valuation Is a Bet on the Token Spread
When an inference provider raises at a $13B valuation, investors are buying the spread between what a token costs to serve and what you are charged. That spread is why your API price is not a cost floor.
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