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Equation 2 · Part 2 · AI Inference Economics in Practice: An Advanced Technical Guide

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r≈0.1r \approx 0.1
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What this part means

Approximately equal to; the equality is not exact.

Its job in the formula

Approximately equal to; the equality is not exact.

The passage around this formula

That convergence on roughly one tenth of base input for a cache read — independently verified today across all three platforms [ 2 , 6 , 10 ] — supports a design rule. Let w be the write-price multiplier for the chosen retention window and r ≈\approx 0.1 the read-price multiplier. For a prefix served identically R times within that window — the first serving is the write, the remaining R-1 are reads — caching beats never caching once

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Learn the underlying idea

A variable is a named place for a value. Its letter is a local label: x can mean position in one formula and a data point in another.

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Sources cited in the article section

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