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🌱 AI Engineering · Ship to Production · cozy lesson

Understanding AI App Costs

9 min · 1 min read · no scary math, promise

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You’ve got this. Read a little, play a little — I’ll wait. No rush.

Example: 2k in + 500 out at $0.15/$0.60 per 1M ≈ $0.0006/query. 1M queries = $600. Cut with: exact/semantic cache, top-K 3 not 10, Haiku/mini for triage, route hard to big model.

Check your understanding

Correct answers earn XP (once each).

1. Biggest lever?

2. Cost formula?

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