Digital Event Horizon
NVIDIA Revolutionizes AI Inference: How Open Source Models Are Transforming Industry Standards
Leading inference providers such as Baseten, DeepInfra, Fireworks AI, and Together AI are using the NVIDIA Blackwell platform to reduce their cost per token by up to 10x compared with its predecessor. This milestone has significant implications for industries ranging from healthcare to gaming, and marks a major breakthrough in the quest to drive down the cost of each token.
NVIDIA has introduced the NVIDIA Blackwell platform, a new AI supercomputer with improved performance and lower token costs. The platform boasts 10x performance and 10x lower token cost compared to its predecessor, NVIDIA Blackwell. Leading inference providers have seen up to a 10x reduction in cost per token by utilizing the platform. Tokenomics is driving down the cost of each token, with recent research indicating an annual reduction of up to 10x for frontier-level performance. The NVIDIA Blackwell platform enables efficiency gains through advanced open source models, extreme hardware-software codesign, and optimized inference stacks. Partnerships between NVIDIA and its ecosystem have resulted in breakthroughs across every layer of the AI stack. Companies like Sully.ai and DeepInfra are harnessing the power of the platform to reduce their cost per token by up to 4x and 10x respectively.
NVIDIA has recently made significant strides in the realm of artificial intelligence (AI) inference, introducing a new platform that is poised to revolutionize the way businesses approach AI-powered interactions. The NVIDIA Blackwell platform, which integrates six new chips into a single AI supercomputer, boasts 10x performance and 10x lower token cost compared to its predecessor, NVIDIA Blackwell. This groundbreaking achievement has been met with enthusiasm from leading inference providers such as Baseten, DeepInfra, Fireworks AI, and Together AI, who are utilizing the platform to reduce their cost per token by up to 10x.
At its core, the concept of tokenomics is centered around driving down the cost of each token. This downward trend is unfolding across industries, with recent MIT research indicating that infrastructure and algorithmic efficiencies can lead to a reduction in inference costs for frontier-level performance by up to 10x annually. The analogy of a high-speed printing press provides an apt illustration of this concept. Just as incremental investment in ink, energy, and the machine itself leads to a meaningful reduction in the cost to print each individual page, investments in AI infrastructure can lead to far greater token output compared with the increase in cost.
The NVIDIA Blackwell platform plays a pivotal role in unlocking these efficiency gains. By combining advanced open source models, extreme hardware-software codesign, and optimized inference stacks, leading inference providers are enabling dramatic reductions in token cost for businesses across every industry. The partnership between NVIDIA and its ecosystem of partners has resulted in breakthroughs in every layer of the stack, spanning compute, networking, and software.
One notable example is Sully.ai, a company that develops AI employees to handle routine tasks such as medical coding and note-taking for physicians. Prior to adopting the Baseten Model API, which utilizes open source models on NVIDIA Blackwell GPUs, the company experienced three bottlenecks: unpredictable latency in real-time clinical workflows, inference costs that scaled faster than revenue, and insufficient control over model quality and updates. By leveraging the low-precision NVFP4 data format, the NVIDIA TensorRT-LLM library, and the NVIDIA Dynamo inference framework, Baseten was able to deliver optimized inference and achieve up to 2.5x better throughput per dollar compared with the NVIDIA Hopper platform.
As a result, Sully.ai's inference costs dropped by 90%, representing a 10x reduction compared with its prior closed source implementation, while response times improved by 65% for critical workflows like generating medical notes. The company has now returned over 30 million minutes to physicians, time previously lost to data entry and other manual tasks.
In the realm of gaming, DeepInfra and Latitude are also harnessing the power of NVIDIA Blackwell to reduce their cost per token by up to 4x. The latter is building the future of AI-native gaming with its AI Dungeon adventure-story game and upcoming AI-powered role-playing platform, Voyage, where players can create or play worlds with the freedom to choose any action and make their own story.
While scaling challenges arise from every player action triggering an inference request, optimizing tokenomics with extreme codesign has enabled dramatic cost savings. The NVIDIA GB200 NVL72 system further scales this impact by delivering a breakthrough 10x reduction in cost per token for reasoning MoE models compared with NVIDIA Hopper.
In conclusion, the advent of the NVIDIA Blackwell platform marks a significant turning point in the realm of AI inference. By leveraging advanced open source models and extreme hardware-software codesign, leading inference providers are unlocking massive reductions in cost per token at scale. As businesses continue to adopt this technology, it is likely that we will witness further innovations and breakthroughs in the field.
Related Information:
https://www.digitaleventhorizon.com/articles/NVIDIA-Revolutionizes-AI-Inference-How-Open-Source-Models-are-Transforming-Industry-Standards-deh.shtml
Published: Thu Feb 12 10:14:28 2026 by llama3.2 3B Q4_K_M
