Align Costs with Usage for AI Success

Understanding the cost implications of AI and open AI models is crucial for product managers and organizations. As AI models become more widely used, especially with volume-based pricing, it's essential to model out costs associated with different user tiers, ranging from casual to heavy usage. Organizations must implement commercial structures that align their cost models with revenue generation to avoid unexpected financial burdens. Embracing principles of frugal architecture can provide useful guidelines for managing expenses while maintaining efficient product performance.