Companies can achieve significant cost savings by building their own conversational AI based on the open source model Llama 3. This is the result of an analysis by Sam Oliver, founder of OpenFi, published on VentureBeat. According to Oliver, an average conversation with Llama 3 costs about $0.08, while the same conversation with OpenAI’s GPT-4 costs about $0.16.
However, Oliver warns that Llama 3 is more complex to set up and requires additional server and development costs. GPT-4, on the other hand, can be integrated quickly via an API. Oliver recommends that companies carefully consider which model is best for their specific needs. Factors such as expected usage, desired control over data, and available resources should be considered.