White Paper
Understanding the Total Cost of Inferencing Large Language Models
This white paper by Enterprise Strategy Group, commissioned by Dell Technologies, analyzes the cost of inferencing large language models (LLMs) using the Dell AI Factory. It finds Dell’s on-premises solutions are 2.1x to 2.6x more cost-effective than public cloud IaaS, and 2.9x to 4.1x more cost-effective than API-based services like OpenAI’s GPT-4o. Benefits include improved data sovereignty, scalability, and predictability. The Dell AI Factory delivers integrated infrastructure, flexible deployment, strong security, and expert services—making it a strategic choice for scalable, high-performance AI inferencing.