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PerformanceIntermediate

Cost Blowup After Launch

Your AI feature launched 2 weeks ago. Costs were $200/day in week 1. Today is $4,800/day. Traffic is up 3x but cost is up 24x. Find the leak.

Symptoms
  • Requests up 3x, cost up 24x
  • P95 latency up from 1.2s to 4.8s
  • Most cost on the frontier model, not the small model
  • Cache hit rate dropped from 60% to 8%
Evidence

Cost breakdown

Week 1: $200/day (small model 80%, frontier 20%)
Week 2: $4,800/day (small model 12%, frontier 88%)

Recent changes

- Removed caching layer 'to simplify'
- Bumped default model from mini to frontier
- Added conversation history (full) to every prompt

Average prompt size

Week 1: 450 tokens
Week 2: 8,200 tokens (history included)
Tasks
  • 1Identify all cost drivers
  • 2Propose a recovery plan
  • 3Design cost guardrails going forward