SMRTR AIJun 25, 2025Daily.dev

How to balance AI model accuracy, performance, and costs with an AI gateway

SMRTR summary

AI teams struggle to balance accuracy, performance, and costs as generative AI adoption increases. Gartner predicts budget overruns for half of AI projects through 2028 due to architectural issues and inexperience. Solutions include AI gateways for multi-model approaches, LLM routing, prompt optimization, and caching. A cost-aware AI governance framework with regular monitoring is essential. By 2028, 70% of organizations with multi-LLM applications are expected to use AI gateways for cost-performance optimization, up from under 5% in 2024.

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