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Your ‘Cheap’ AI Model Costs 28x More Than You Think

The Hidden Tax of Thinking Tokens - Stanford study exposes 28x pricing scam

A Stanford/Berkeley study ran 11,872 queries across 8 frontier AI models and found something the pricing pages won’t tell you: the ‘affordable’ reasoning model might be costing you 28x more than the expensive one. Hidden thinking tokens are destroying developer budgets — and the providers know.