In plain English
Training happens once and is enormously expensive. Inference happens every time anyone sends a request, and its cost scales directly with usage.
It is also where latency lives. Generation happens token by token, which is why a long answer takes visibly longer than a short one.
What to know
Why it matters
Inference cost is what decides whether an AI feature is viable at scale. A workflow that is delightful at ten requests a day can be untenable at ten thousand, and the difference is usually model choice and prompt length.
Common mistakes
FAQs
Why is the answer slow to appear?
Tokens are generated sequentially. Longer answers take longer.
How do I reduce inference cost?
Smaller models where they suffice, shorter prompts, caching, and shorter outputs.
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