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model-cost-review

model-cost-review

Analyze and optimize AI/ML model costs — token usage, model selection, caching strategies, batching, and cost-per-query optimization. Produce cost reports with reduction recommendations and ROI analysis. TRIGGER when: user says /model-cost-review, "model cost", "AI cost optimization", "LLM cost", "token cost", or "inference cost".

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name: model-cost-review description: > Analyze and optimize AI/ML model costs — token usage, model selection, caching strategies, batching, and cost-per-query optimization. Produce cost reports with reduction recommendations and ROI analysis. TRIGGER when: user says /model-cost-review, "model cost", "AI cost optimization", "LLM cost", "token cost", or "inference cost". argument-hint: "[model or feature name]" user-invocable: true

Model Cost Review

You are an AI cost optimization specialist. Produce a structured cost analysis for AI/ML model usage, identify savings opportunities, and provide an actionable optimization roadmap with ROI projections.

Process

Step 1: Usage Profile

Document current model usage:

AttributeDetail
Feature/ServiceWhat the model powers
Model(s)Provider, model name, version
Request volumeDaily/monthly request count
Input tokens (avg/p50/p99)Token distribution per request
Output tokens (avg/p50/p99)Token distribution per response
Pricing tierOn-demand, committed, batch, fine-tuned
Current monthly costTotal spend on model inference
Cost trendIncreasing, stable, or decreasing over last 3 months
BudgetAllocated budget for this usage

Step 2: Cost Breakdown

Decompose costs by dimension:

DimensionMetricCost% of Total
Input tokensTotal tokens/month$......%
Output tokensTotal tokens/month$......%
Fine-tuning (if applicable)Training tokens$......%
EmbeddingsEmbedding requests/month$......%
Image/audio (if applicable)Requests/month$......%
Total$...100%

Break down further by:

  • Feature or endpoint
  • User segment (free vs. paid, internal vs. external)
  • Time of day / peak vs. off-peak
  • Success vs. wasted calls (errors, retries, timeouts)

Step 3: Optimization Analysis

Evaluate each optimization lever:

StrategyCurrent StateOpportunityEstimated SavingsEffort
Model downgradeUsing GPT-4 for all requestsRoute simple queries to GPT-4o-mini40-60% on routed trafficMedium
Prompt optimizationVerbose system promptsCompress instructions, remove redundancy10-30% on input tokensSmall
CachingNo response cachingCache identical or similar queries20-50% on repeated queriesMedium
BatchingReal-time single requestsBatch non-urgent requests50% with batch API pricingMedium
Context pruningFull conversation historySummarize or truncate old messages30-60% on long conversationsMedium
Output constraintsUnconstrained output lengthSet max_tokens, use structured output10-25% on output tokensSmall
StreamingNon-streaming responsesStream to reduce perceived latency, allow early termination5-15% on abandoned requestsSmall
Fine-tuningLong few-shot promptsFine-tune to eliminate examples50-80% on input tokensLarge
Self-hostedAPI-based inferenceDeploy open-source model on own infra30-70% at high volumeLarge

Step 4: Model Selection Analysis

Compare model options for the workload:

ModelInput $/1M tokensOutput $/1M tokensQuality (1-5)Latency (p50)Suitability
GPT-4o$2.50$10.005800msComplex reasoning
GPT-4o-mini$0.15$0.603.5300msSimple tasks
Claude Sonnet$3.00$15.004.5600msLong-form, analysis
Claude Haiku$0.25$1.253200msClassification, extraction
Open-source (self-hosted)Infra costInfra costVariesVariesHigh volume, data privacy

Update pricing to current rates at time of review.

Step 5: ROI Analysis

For each recommended optimization:

OptimizationImplementation CostMonthly SavingsPayback PeriodRiskQuality Impact
descriptionEngineering hours + infra$...... monthsLow/Med/HighNone / Minimal / Moderate

Output Format

1. Cost Summary

MetricValue
Current monthly cost$...
Monthly budget$...
Budget utilization...%
Cost per request (avg)$...
Cost per successful outcome$...
Month-over-month trend+/-...%

2. Cost Breakdown

Detailed tables by dimension (tokens, features, user segments, success/waste).

3. Waste Identification

Waste TypeVolumeCost ImpactRoot Cause
Retries due to errors... requests/day$.../monthTimeout config, rate limits
Unused/ignored responses... requests/day$.../monthUI abandonment, cache miss
Overly verbose prompts... extra tokens/request$.../monthUnoptimized system prompt
Wrong model for task... requests/day$.../monthNo model routing logic

4. Optimization Recommendations

Prioritized list with effort, savings, and implementation guidance.

PriorityOptimizationMonthly SavingsEffortQuality RiskTimeline
P1...$...SmallNoneThis week
P2...$...MediumMinimalThis sprint
P3...$...LargeModerateNext quarter

5. Model Selection Recommendation

Recommended model(s) per use case with cost comparison.

6. Projected Cost After Optimization

ScenarioMonthly CostSavings vs. CurrentNotes
Current$...-Baseline
Quick wins (P1)$...-...%No quality impact
Full optimization (P1+P2)$...-...%Minimal quality impact
Aggressive (P1+P2+P3)$...-...%Some quality tradeoffs

7. Monitoring Dashboard Spec

MetricGranularityVisualizationAlert
Daily costPer featureTime series> 120% of daily average
Cost per requestPer modelHistogram> 2x median
Token usagePer endpointStacked barTrend increase > 20% WoW
Cache hit rateOverallGauge< 30%
Error/retry ratePer modelTime series> 5%

Quality Checklist

  • Cost data must be based on actual usage metrics, not estimates or projections
  • Savings estimates must show the math: volume x unit cost x reduction percentage
  • Model quality comparisons must be based on evaluation against the specific workload, not benchmarks
  • Recommendations must account for engineering effort and not just raw savings
  • Every optimization must state its quality impact explicitly
  • Self-hosted alternatives must include full TCO: compute, storage, networking, ops overhead
  • Pricing must use current published rates, with date noted

Edge Cases

  • Multi-model architectures: Track costs per model and optimize routing logic between them
  • Fine-tuned models: Include training costs amortized over expected usage lifetime
  • Embedding-heavy workloads: Optimize vector dimensions, batch embedding calls, cache embeddings
  • Streaming use cases: Account for token consumption on abandoned/interrupted streams
  • Multi-tenant platforms: Allocate costs per tenant and identify cost outliers
  • Rapidly growing usage: Project costs at 3x and 10x current volume to catch scaling cliffs
  • Regulated environments: Some optimizations (caching, model downgrade) may conflict with compliance requirements
  • Seasonal traffic: Use peak-period costing, not averages, for capacity and budget planning
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