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Video 1 · November 2026 · Explainer

AI Got 280× Cheaper. So Why Is Your Bill Going Up?

Your AI bill is set by tokens per task, not price per token: budget per task and route each task to the smallest model that does it.

Sources
  1. Stanford HAI (2025). The 2025 AI Index Report. Takeaway 7: GPT-3.5-level inference cost fell over 280-fold, Nov 2022 to Oct 2024. hai.stanford.edu/ai-index/2025-ai-index-report. Accessed 8 November 2026.
  2. Cottier, B.; Snodin, B.; Owen, D.; Adamczewski, T., Epoch AI (2025). LLM inference prices have fallen rapidly but unequally across tasks. Cheapest model above a benchmark threshold, USD per 1M tokens blended 3:1. epoch.ai/data-insights/llm-inference-price-trends. Accessed 8 November 2026.
  3. Pichai, S., Google (2026). I/O 2026: Welcome to the agentic Gemini era. Tokens processed per month across Google's surfaces; company-reported. blog.google/innovation-and-ai/sundar-pichai-io-2026. Accessed 8 November 2026.
  4. Tully, T.; Redfern, J.; Das, D.; Xiao, D., Menlo Ventures (2025). 2025: The State of Generative AI in the Enterprise. US enterprises only; survey of 495 decision-makers plus a market model. menlovc.com/perspective/2025-the-state-of-generative-ai-in-the-enterprise. Accessed 8 November 2026.
  5. Eurostat (2025). Use of artificial intelligence in enterprises (isoc_eb_ai). Enterprises with 10+ employees; Germany from the dataset (updated 2026-06-15). ec.europa.eu/eurostat/statistics-explained/index.php?title=Use_of_artificial_intelligence_in_enterprises. Accessed 8 November 2026.
  6. OpenAI (2026). API pricing. Standard tier, USD per 1M tokens. developers.openai.com/api/docs/pricing. Accessed 8 November 2026.
  7. Anthropic (2026). Pricing. Base input and output, USD per 1M tokens. platform.claude.com/docs/en/about-claude/pricing. Accessed 8 November 2026.
  8. Google (2026). Gemini API pricing. Standard tier; Gemini 4 Argon price from 2026-12-01 as listed on the page. aistudio.google.com/docs/pricing. Accessed 8 November 2026.
  9. Hadfield, J.; Zhang, B.; Lien, K.; Scholz, F.; Fox, J.; Ford, D., Anthropic (2025). How we built our multi-agent research system. anthropic.com/engineering/multi-agent-research-system. Accessed 8 November 2026.
  10. Gundlach, H.; Lynch, J.; Mertens, M.; Thompson, N., MIT FutureTech (2026). The Price of Progress: Price Performance and the Future of AI (arXiv:2511.23455). arxiv.org/abs/2511.23455. Accessed 8 November 2026.
  11. Dr. Kalun Ho (2026). Cheaper Tokens, Costlier Tasks: Measuring Tokens per Task Across Reasoning Settings, Model Size and Agentic Tool Use. Own measurement; setup, full results and code on the page. kalunho.com/experiments/tokens-per-task. Accessed 8 November 2026.
  12. Qwen Team, Alibaba (2026). Qwen3.8-27B model card. reasoning_effort low, medium, xhigh; xhigh is the default. huggingface.co/Qwen/Qwen3.8-27B. Accessed 8 November 2026.
  13. Jevons, W. S. (1866). The Coal Question (2nd ed.; first published 1865). Chapter VII, Of the Economy of Fuel. econlib.org/library/YPDBooks/Jevons/jvnCQ.html?chapter_num=9. Accessed 8 November 2026.
  14. European Central Bank (2026). Euro foreign exchange reference rates (USD). 2026-11-06, 1 EUR = 1.1165 USD. ecb.europa.eu/stats/policy_and_exchange_rates/euro_reference_exchange_rates/html/index.en.html. Accessed 8 November 2026.
  15. Ong, I.; et al., UC Berkeley Sky Computing Lab (2024). RouteLLM: Learning to Route LLMs with Preference Data (arXiv:2406.18665). sky.cs.berkeley.edu/project/routellm. Accessed 8 November 2026.
  16. Chen, L.; Zaharia, M.; Zou, J. (2023). FrugalGPT: How to Use Large Language Models While Reducing Cost and Improving Performance. arxiv.org/abs/2305.05176. Accessed 8 November 2026.

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