The Total Compute Cost (TCC) Illusion in AI
Demographic: cfo-investor
Most AI prototypes are funded based on vendor API estimates (e.g., "$0.01 per 1K tokens"). But this ignores the Total Compute Cost (TCC) of running AI in production. TCC includes the hidden architectural costs: scaling vector databases, maintaining data pipelines, prompt execution redundancy, and model fine-tuning.
Govern TCC Before It Bankrupts the Budget
The "Production Gap" occurs when a $5,000/month pilot scales into a $50,000/month liability because engineering failed to model the TCC. CFOs must enforce deterministic budgeting and require architectural audits before authorizing production AI deployments.
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