---
title: "Self-hosted LLM vs API break-even math"
description: "Calculate the token volume where a rented GPU beats an LLM API, then test model parity, utilization, peak capacity, caching, and operations costs."
canonical_url: "https://fanout.sh/blog/self-hosted-llm-vs-api-cost-break-even"
md_url: "https://fanout.sh/blog/self-hosted-llm-vs-api-cost-break-even.md"
last_updated: "2026-08-24"
access: "public"
---

# Self-hosted LLM vs API break-even math

Calculate the token volume where a rented GPU beats an LLM API, then test model parity, utilization, peak capacity, caching, and operations costs.

- Author: Suraj Gaud

- Published: 2026-08-24

- Track: Inference engineering

- Access: Fanout Pro

- Tags: self-hosted LLM, LLM API, inference cost, break-even, H100, GPU utilization, token pricing, capacity planning

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---
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