Concept · Business and metrics

Usage-based pricing

Also called: usage based, pay as you go, pay-as-you-go, metered billing, metered pricing, consumption pricing, per-token pricing, pay per use

A way to charge where the bill follows how much the customer uses, instead of a flat fee. Cloud providers and AI model providers commonly charge this way.

For example: An AI provider charges for each token a product sends and receives. A month with twice the customer activity brings a bill about twice as large.

Connects to 16

• Per-seat pricing Concept
• Token Concept
• Inference Concept
• Free tier Concept
• Pricing tiers Concept
• Serverless Concept
• Egress Concept
• Rate limit Concept
• Reasoning model Concept
• AI chat assistant Concept
• Amazon Web Services Tool
• Stripe Tool
• Input tokens Concept
• Prefix cache Concept
• Cache tokens Concept
• Twilio Tool