Models
April 9, 2025

Generative AI pricing models shift toward usage-based billing across platforms

Facing high inference costs from Generative AI models like OpenAI’s o3-high, companies such as Vercel and Replit are shifting to usage-based pricing aligning revenue with infrastructure but increasing cost unpredictability.

As advanced Gen AI models like OpenAI’s o3-high generate substantial inference costs reaching up to $3,500 per query companies are rethinking their pricing strategies.

Platforms such as Vercel, Bolt.new, and Replit are moving away from traditional flat-rate pricing in favor of usage-based models. This shift aims to better align revenue with the underlying infrastructure and compute costs associated with running large-scale AI systems.

While usage-based pricing provides greater scalability and financial sustainability for providers, it also introduces cost unpredictability for customers, especially those with fluctuating workloads. The trend reflects a broader industry move toward more dynamic, consumption-driven monetization of AI services.

#
OpenAI

Read Our Content

See All Blogs
Gen AI

Why GoML is the best LeewayHertz alternative?

Deveshi Dabbawala

November 3, 2025
Read more
LLM Models

The definitive guide to LLM use cases in 2025

Deveshi Dabbawala

October 23, 2025
Read more