Open Models vs Frontier Models: Who Actually Wins? | The $100K Token Budget Every Engineer Will Need
Source
youtube.com
Author
20VC
Date
Why it matters
Argues demand for frontier-level intelligence is unbounded and that distillationTraining a small, cheap model to imitate a big one's outputs, keeping much of the capability at a fraction of the cost.Full definition → drives open-model competitiveness, informing how you budget tokenThe chunk of text a model reads and writes in — roughly three-quarters of a word — and the unit AI usage is billed in.Full definition → and choose between open and frontier models.
Terms in this piece · Glossary
distillation — Training a small, cheap model to imitate a big one's outputs, keeping much of the capability at a fraction of the cost.
token — The chunk of text a model reads and writes in — roughly three-quarters of a word — and the unit AI usage is billed in.