“It’s time for a smart move.” AK continued “Received deprecation reminder again about GPT 3.5, nobody looked at it so far.”

 

AK just took up a role to oversee development of a Minimum Marketable Product, which is making API calls to GPT-3.5 and this is his first in AI space. AK catches up with GK for a quick coffee.

 

AK: “GK, I’ve been thinking about upgrading from GPT-3.5 to GPT-4o, but the costs are making me hesitate.”

 

He knows that GK explored a few models for a micro SaaS.

 

GK: “I hear you, AK. Have you explored any options?”

 

AK: “Not yet. Thought of having a word with you.”

GK: “From GPT-3.5 to GPT-4o, it’s a big leap in performance, but also in cost. Have you looked into the GPT-4o Mini?”

 

AK: “GPT-4o Mini?”

GK: “Well, it’s a scaled-down version of GPT-4o, but it still offers a significant improvement over GPT-3.5. Think of it as getting most of the benefits with a better price tag.”

 

AK: “Interesting.”

GK: “Exactly. You’re looking at a significant cost difference by going with GPT-4o Mini instead of the full GPT-4o.”

 

AK: “Can you tell me more.”

GK: “Let me give you a high level estimate based on current prices. GPT-4o Mini saves about 60% of GPT-3.5 cost over 5x by using full GPT-4o.”

 

AK: “That’s a solid saving. What’s the catch?”

GK: “No real catch. Without going into tech details, I would say – if 3.5 met your project needs that means you may not need a larger and more complex model GPT-4o. So, GPT-4o Mini would be suitable, which is a scaled-down or lightweight version of GPT-4o.”

 

AK: “You’ve convinced me to give it a try. If the GPT-4o Mini gets the job done, it’s a win-win.”

GK: “Exactly. In this game, it’s all about balancing need, performance with cost. Anyways, few of the gpt-3.5 models are shutting down in Sept.”

 

AK: “Thanks, GK. I’m going to explore this option further.”

GK: “Glad to help, AK. And remember, these are my personal observations based on a business need I encountered.” 

“The key is to align your AI needs with your project goals. I would recommend you to explore other models too for an informed decision.”