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Showing posts with the label costs

ai usage costs get real

Ok it's starting to happen: ai usage costs getting real. Github copilot announced changes to their pricing models to be more usage based, starting in 1 month. " Instead of counting premium requests, every Copilot plan will include a monthly allotment of GitHub AI Credits, with the option for paid plans to purchase additional usage. Usage will be calculated based on token consumption, including input, output, and cached tokens, using the listed API rates for each model." Uber reportedly spent their whole 2026 budget for Cursor and Claude code in the 1st four months of 2026. Maybe that's good. Maybe not. Its safe to say CFOs across orgs are paying attention. Burning tokens for no valuable outcome (tokenmaxxing) is not the right strategy (despite when ai vendors might tell you). The outcome has to be worth the investment. OpenAI and Anthropic are losing billions. OpenAI internal docs say they will lose $14 billion in 2026 and will lose $44bn until they turn profitable in...

cursor composer 2 model is a lot cheaper than Claude Opus

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"tokens are the currency of LLMs", and as usage increases so do costs, and these costs are no longer small change for organizations, t he messaging has definitely shifted to being cost conscious. cursors Composer 2 model is cursors own model available in cursor cursors composer model is cheap, 10x cheaper than Claude Opus 4.6/4.7 per million output tokens $2.5 versus $25 (and is also 10x cheaper for input tokens)  6x cheaper than Sonnet wow! that's really significant and from the chart below, from cursor benchmarks, indications are it performs well compared to Opus 4.6 imo it makes total sense to use cursors Composer 2 model as default  why not "Auto"? I've not used Auto so I can't comment from experience but I have read that it can be unpredictable and costly. Composer 2 works perfectly well for me If in Claude code then use Opus for complex tasks otherwise user Sonnet e.g. "write unit tests for Component Y" use Sonnet