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API requests to AI providers can rack up quite a bill. Barclay analysts found that a single prompt to OpenAI’s o3-high model resulted in a $3,500 fee, requiring 1,000 more tokens than its predecessor model, according to Business Insider.
Most developers know what caching is. But semantic caching is the new thing for AI. It’s set to become more relevant as AI costs escalate and developers seek out sleeker designs to avoid pinging AI servers over and over for redundant queries.
“Everyone’s going to be looking at their AI cost structure,…
