Keeping your cost per AI call honest
Model prices fall every quarter, yet bills keep rising. Four habits that keep AI features profitable.
About one in four strategy engagements ends with us recommending something more boring. Three questions we ask first.
Large language models are extraordinary, and they are also expensive, slow and occasionally wrong. A surprising number of problems that arrive labelled “AI” are better solved with a rule, a search index or a well-designed form.
If the right answer lives in a policy document or a database, you probably need good search, not generation. Retrieval with a small model on top is cheaper and easier to trust.
If an expert can write the decision down as ten rules, write the rules. Use a model only for the messy edges the rules cannot reach.
Where a mistake is cheap and a human checks the output, LLMs shine. Where a mistake is expensive and nobody checks, you need guardrails, evals and often a human in the loop — or a different approach entirely.
The most valuable thing we do in a strategy engagement is sometimes saying no.
Model prices fall every quarter, yet bills keep rising. Four habits that keep AI features profitable.
We write the test suite before the agent. Here is how a golden set, a grader and a CI gate keep our AI systems honest.
Speed, privacy and offline support make on-device models compelling. Here is where they fit — and where the cloud still wins.