Reducing AI API Costs with Small Language Models (SLMs)
Modern AI-driven workflows often rely on large cloud LLM APIs (e.g. GPT-4, Claude), but these can incur steep per-token fees. By contrast, small language models (SLMs) – compact open‐source models typically under ~10B parameters – can be self‐hosted on local hardware, removing the majority of the AI API costs. Studies show dramatic savings: for example, […]
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