At 8 requests/user/day (totaling 12,000,000 queries/mo), running Agentic workflow on Text Embedding 3 (Small) costs $9,600.00 / month ($0.192 / user / mo).
Total expected API invoice for 50,000 Active Users generating 12,000,000 queries.
Direct inference cost per MAU to model your SaaS pricing tiers and gross margins.
Savings generated by exploiting 65% cache hits on prompt context.
| Model | Provider | Monthly Spend (50,000 Active Users) | Cost / User / Mo | Annual Spend | Context Limit |
|---|---|---|---|---|---|
| Text Embedding 3 (Small) (Current) | openai | $9,600.00 | $0.192 | $115,200.00 | 8,191 |
| Text Embedding 3 (Large) | openai | $62,400.00 | $1.248 | $748,800.00 | 8,191 |
| Text Embedding 004 | $9,600.00 | $0.192 | $115,200.00 | 8,192 |
At 8 queries per user/day with Text Embedding 3 (Small), the estimated cost is $0.192 per monthly active user (MAU). Total monthly bill for 50,000 Active Users is $9,600.00.
Assuming a 65% cache hit rate on repeated system and context tokens, prompt caching saves $0.00 per month ($0.00/year) on Text Embedding 3 (Small).
With a direct COGS of $0.192 per user/month on Text Embedding 3 (Small), charging at least $0.96 per user/month ensures an 80%+ software gross margin.