Jargon, explained
Explained: Workplaces look for cheaper AI as ‘tokenmaxxing’ fades as a corporate fad
Compiled Aug 3
A corporate fad called "tokenmaxxing" — maximizing AI token usage — is fading as costs rise without matching productivity gains.
- tokenmaxxing
- Maximizing usage of AI tokens, treated by some as a sign of productivity or high performance.
- tokens
- The building blocks of generative AI text, each roughly three-quarters of a word, used to measure and price AI usage.
- model routing
- A system that automatically sends simple AI queries to cheaper models and complex ones to more powerful, costlier models.
- open-source AI models
- AI models like China's Kimi or GLM that are freely available and often cheaper than proprietary U.S. models.
- Claude Opus 4.6
- An advanced Anthropic AI model suited to complex tasks like software engineering or deep research.

