Why it matters

TCO shapes strategic decisions. Understanding shapes economics.

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The architecture

Enumerate all cost buckets.

3-5 year projection.

Sensitivity analysis.

Build vs buy comparison.

LLM TCO structureCost bucketsHW + SW + provider + team + opsProjection3-5 yearsBuild vs buycompare scenariosSelf-hosted breaks even ~12-24 months of steady load vs provider API
LLM TCO.
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How it works end to end

3-5 year horizon.

Include team + compliance.

Sensitivity: volume + provider prices.

Self-host vs API cross-over.