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AI inference, explained for the people who run it

Most AI services are built to answer in seconds, and price every request that way. A lot of real AI work has nobody waiting for it, and work that can wait is much cheaper to run. These guides explain what running AI costs, what it runs on, how to choose and shrink a model, how to run a multi-step pipeline, and what happens to your data.

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Integration · 10 min read

Workflow-aware inference: why the request is the wrong unit

Why does it matter how you send a multi-step AI job? Most real AI work is a pipeline, but most AI services accept one request at a time. That throws away the information a scheduler needs to run the pipeline well, and three independent research groups have now measured what it costs.

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Cost & economics

7 guides

Where the money goes: GPU time, how much work a GPU gets through, caching, and how a deadline becomes a discount.

Models & quality

8 guides

Open versus proprietary models, choosing the right size, and shrinking a model without hurting its answers.

Open-weight vs. proprietary models: when open is enough

Open-weight models are competitive on many batch tasks. The real trade-offs in cost, control, privacy and quality, and how to measure them on your workload.

9 min read

How to choose a model for a batch task

Bigger is not automatically better. How to match model size to a batch task, weigh quality against cost, and send only the hard items to a bigger model.

4 min read

Temperature, top-p and max_tokens: the settings that shape an answer

What temperature, top-p, max_tokens, stop sequences, penalties and seeds do to a model’s answer, and sensible starting points for batch work.

6 min read

Mixture-of-Experts, explained: big-model quality at small-model cost

An MoE model holds many parameters in memory but activates a fraction per token. Total drives memory, active drives speed, and that split changes the economics.

6 min read

Many drafts, one editor: the mixture-of-agents pattern

Several cheap drafts and one model that writes the answer from the best of them. What the research found, when it pays, what it costs, and how to build it.

10 min read

Quantization explained: FP8, INT4, and serving models cheaper

Quantization stores model weights at lower precision, cutting memory and cost. What FP8, INT8 and INT4 mean, what they cost in quality, and which GPUs run them.

6 min read

Measuring inference quality: building a gold set

You cannot choose a model, quantization or prompt without measuring quality. How to build a small gold set and a test loop that turns choices into data.

4 min read

Getting reliable structured output from LLMs

Schemas, validation, retries and escalation: how to get JSON from a language model that your code can trust, and what to do with the answers that fail.

6 min read

Infrastructure

4 guides

The machines and markets underneath: GPUs, spare (spot) capacity, how much one machine can serve at once, and what starting a machine costs.

Integration

5 guides

Getting work in and out: the OpenAI-compatible batch API, the request file, and sending a whole pipeline as one workflow.

Privacy & security

7 guides

What happens to your data: how long it is kept, whether it is trained on, and who can see it. And what a model can reach: prompt injection, credentials, and the model files themselves.

Privacy in AI inference: retention, training, and isolation

Is your data retained, trained on, or readable by someone else? The privacy questions that matter in AI inference, and how open models change the answers.

5 min read

Data residency for AI inference: pick a boundary, not a region

Compliance obligations are jurisdictional, not regional. Why a residency boundary is the right primitive for AI inference, and how a lock must behave.

5 min read

Who is actually running your inference?

Encryption does not protect a prompt during inference: the model needs plaintext in memory. That makes the machine, and whoever controls it, part of your risk.

6 min read

Prompt injection in AI pipelines versus agents

An injected instruction can only do what the system around the model allows. Where the three ingredients of an attack live in an agent loop and a fixed graph.

9 min read

Where the secrets go: least privilege for AI tool calls

A model step should hold the authority its one task needs and no more, as a CI job does. Where credentials sit in an agent, a tool server and a fixed graph.

7 min read

Model supply chain security: pickle, safetensors, pinned revisions and backdoors

A model file can run code when it loads, a repository can change under you, and weights can carry a trigger. What stops each attack, and what nothing stops yet.

8 min read

A security review checklist for an AI inference vendor

The questions a security reviewer should ask any AI inference vendor, what a good answer looks like, and the three things no vendor can honestly promise.

7 min read

The case for batch

It is also the idea behind the name. Otium is Latin for productive leisure. Its opposite, negotium, means business and urgency. We named the company after the first one.

01

Most AI work is not interactive

Enriching a product catalog, sorting a backlog, summarizing documents overnight: none of it has a person waiting for the answer. It needs to be done by a deadline, not in a second, and paying the price of an instant answer for it is money spent on speed nobody uses.

02

A deadline is a discount

Computing time can’t be stored: a GPU that sits idle for an hour has lost that hour for good, so clouds sell spare capacity cheaply when demand is low. Work that must answer now can’t wait for it. Work with a deadline can, and every extra hour you allow is another hour in which cheap capacity can turn up.

03

The model you build on can be taken away

A model you use through one of the big AI companies is something you don’t control. It can be retired on their schedule, limited to a pricier plan, repriced, quietly replaced by a version that answers differently, or withdrawn altogether, sometimes by a regulator rather than the company. Each of those breaks the prompts you tuned and the tests you trusted. An open model is different: its files are already copied in thousands of places, so no announcement can make it disappear. Otium runs open models only, so no other company decides when your model goes away, and when we move a size to a newer model, we tell you first.

04

A pipeline is not a pile of unrelated requests

Most real AI work is a chain of steps: pull out the facts, classify them, look something up, write a summary. But the services that run it take one request at a time and forget it, so they never learn that the steps belong together. Independent researchers have measured what that costs, and it is not small: the same instructions are processed again for every item, models are reloaded between steps, a badly formed answer costs a whole extra round, and steps that could run side by side wait in line. Send the whole pipeline as one workflow and Otium sees its whole shape: it keeps a model loaded across the steps that use it, retries a bad answer in place, and runs independent steps side by side.

05

Batching flattens the demand curve

Power grids and clouds are both sized for their busiest moment, not their average. Work that must answer instantly arrives in spikes, so machines are kept running in case a spike comes. Work that can wait can move into the quiet hours, overnight or onto capacity that is already idle, so fewer machines sit running just in case.

06

Flatter peaks mean less wasted power

The busiest hours on the grid are met by the dirtiest and most expensive power plants, the ones switched on only for peaks, and data centers increasingly cause those peaks. Moving work that can wait out of the peak means less of it runs on that power, and more on cheaper, often cleaner, power from the quiet hours. Using capacity that would otherwise sit idle wastes less money and less energy.

Flattening the demand curve

Machines are bought for the busiest moment, not the average one. The same work spread into the quiet hours needs far fewer machines kept running, and avoids the dirtiest power, which is switched on only for the peaks.

Interactive demand: spiky, met instantly
peak capacity must be provisioned
Same work, deferred into the troughs
far less capacity sits hot

An illustration, not a measurement. The point is the mechanism: work that can wait moves off the peak and onto capacity that would otherwise sit idle. The measurement is public too: spot prices show the troughs, and we publish them as live GPU prices and a monthly market report.

Send us the work that can wait.

Work that can wait runs on cheaper capacity and on open models nobody can retire. Leave your email and we’ll send you a link to create your account.

Free to try on our demo model. No credit card, no spam: we email you a link to finish.

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