Course Objective & Scope
Token consumption and multi-second latencies that seem harmless in a prototype quickly turn into budget overruns and sluggish user experiences at production scale. This course covers the anatomy of LLM cost and latency (input, output and reasoning tokens, TTFT and TPOT), provider prompt caching, semantic caching, asynchronous Batch APIs and controlling output verbosity.
Participants profile an existing LLM workflow and apply concrete optimisations that lower unit cost and p95 latency while preserving eval quality.
Who Should Attend?
- AI and backend engineers responsible for the performance and budget of production LLM services
- Platform teams managing AI infrastructure and FinOps metrics
- Technical product managers and architects improving AI unit economics
- Prerequisite: experience building applications with LLM APIs
Key Takeaways
- Profile cost per transaction and latency breakdown (network, TTFT, generation) for an LLM feature
- Structure static instructions, tool schemas and examples to maximise prompt cache hit rates
- Design a safe semantic cache layer for repeated or near-duplicate queries
- Move non-interactive workloads to Batch APIs and queues for major cost reductions
- Run controlled experiments proving cost and latency gains without hurting eval accuracy
Curriculum
LLM Unit Economics and Latency Anatomy
- Analysing input, output, cached and reasoning token pricing
- How prefill (TTFT) and decode (TPOT) stages drive end-to-end latency
Prompt Caching and Prefix Optimisation
- Prompt caching mechanics and TTL management in OpenAI, Anthropic and Gemini
- Placing dynamic variables at the tail of the prompt to avoid cache invalidation
Exact and Semantic Caching in the Application Layer
- Redis and vector-based caching, similarity thresholds and false-positive risks
- Safe cache keys across user permissions, time-sensitive data and personalisation
Token Reduction and Output Length Control
- Cutting output tokens (the main latency driver), compact schemas and stop sequences
- Tuning reasoning effort and thinking budgets in reasoning models
Parallelism, Batch APIs and Execution Patterns
- Running independent LLM steps concurrently and speculative execution
- Using asynchronous Batch APIs to cut cost on offline workloads
Hands-On: Cost / Latency / Quality Pareto Analysis
- Step-by-step optimisation of a sample LLM service
- Producing a before/after table of unit cost, p95 latency and eval quality
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