Usage-Based Pricing
Licensing ModelPricing Model
A pricing approach where the customer pays based on consumption of a defined metric. The term is an umbrella covering fundamentally different approaches — from per-API-call billing to committed usage agreements to outcome-based pricing — which makes it nearly useless as a descriptor without specifying the metric.
Used in these articles
- Outcome-Based vs Consumption-Based AI Pricing | SPP
- GitHub Copilot Pricing Change Reveals the 5-Position AI Pricing Spectrum
- Seat, Token, Credit, Consumption, or Outcome: How to Choose an AI Pricing Model
- API Pricing: Pennies per Call, Until the Call Became a Unit of Work
- Inference Cost: What It Does to Software Pricing