💰 Databricks says AI costs could drop by up to 90%

💰 Databricks says AI costs could drop by up to 90% AI companies might be spending way too much money on tasks that don’t actually need a powerful model. Databricks found that its Smart Router can automatically send simpler tasks to cheaper models while saving the expensive frontier models for harder problems. That alone cut average task costs by more than 30% while keeping roughly the same quality. Then they optimized the coding setup and caching, cutting generated tokens by nearly 50% without seeing a drop in quality. Put it all together, and Databricks says some workloads could see up to 90% lower AI costs. The big idea is simple: you don’t need a Ferrari to drive to the grocery store. @aipost 🏴