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Tokens Are Not the Unit

TL;DR AI

Key summary

2 min read
  1. Per-token AI pricing can be misleading because hidden reasoning tokens can make a model cost more than its sticker price suggests.

  2. Models with similar benchmark scores may still differ a lot in error patterns, tool use, and real-world reliability.

  3. Relying on average accuracy alone can lead teams to pick the wrong model for production.

  4. The piece argues for evaluating effective cost and behavior, not just listed pricing or aggregate scores.

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