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Pricing Time, Not Just Tokens: Latency-Aware Mechanism Design for LLM Inference

McDougall, Ian et al.
arXiv (All) · Papers
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computer-science-and-game-theory
The economic theory of LLM pricing treats tokens as a homogeneous commodity considering aggregate token count as the main features buyers and sellers consider. We model inference as a service market where buyers have three-dimensional private information - willingness-to-pay, task volume, and time p
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