Model APIs, GPU cloud or your own hardware?

Compare AI deployment options using workload constraints, operating responsibilities and explicit cost assumptions.

Server cooling fans and network cables behind a perforated rack door at NERSC.

EDITORIAL DRAFT — outline only. Not ready for publication. AI infrastructure decisions, part 3 of 6. Audience: teams evaluating deployment options.

Start with constraints, not a preferred platform

[Use the workload checklist from part 2 to establish quality, latency, volume, location, control and operational requirements. Explain that deployment routes may not offer equivalent models or capabilities.]

Compare the three routes

  • [Model API: charging units, availability, provider limits, data handling and integration effort.]
  • [GPU cloud: rented capacity, model operations, idle time, scaling and commitments.]
  • [Own hardware: acquisition, hosting, power, staffing, maintenance and capacity risk.]

A comparison with explicit assumptions

[Build a worked example and sensitivity analysis, not a universal break-even claim. Include capital amortisation, staffing, utilisation, commitments and workload growth. State currency, taxes, region, pricing date and exclusions.]

Evidence and measurement checklist

[Collect dated provider pricing and hardware specifications. Publish hardware, model, precision, utilisation, workload and measurement date. Use comparable quality and latency targets; explain where equivalent performance cannot be established.]

Reader next step

[Create and test a cost-comparison worksheet with editable assumptions and visible formulas. Intended CTA: use the worksheet. No download link until the file exists; keep it separate from newsletter consent. Link to part 4 only when published.]