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AI cost: token API vs local VPS

Torn between a token-billed API (Mistral, OpenAI…) and self-hosting a model on a fixed-cost VPS? Estimate both based on your volume.

AI calls per monthAvg tokens per call (input + output)API price ($ / million tokens)Monthly VPS cost (local)

Estimated API cost0.36 $/ month

Local cost (VPS, fixed)9.00 $/ month

Break-even point : Above ~7,500 calls/month, the local VPS becomes cheaper than the API.

At this volume, the token-based API is cheaper (and faster, no server to manage).

Indicative estimate. Local cost excludes management time and CPU slowness; API cost varies by model and input/output ratio.