In the last year, we have witnessed a surge in AI-based applications and APIs following the introduction of ChatGPT. This sparked the emergence of new enterprise use cases and workflows. Many of these solutions are delivered as APIs rather than traditional UI-based applications and target developers.
However, monetizing AI-based APIs demands a strategic approach to ensure that the cost of API access reflects the value provided to customers. It's crucial to mitigate the potential for misuse and ensure that the pricing model is in line with the infrastructure costs, which can be substantial for powering these AI-based APIs. As a result, the conventional SaaS pricing model, offering unlimited API access, is not suitable for AI-based APIs. In this article, let's delve into potential methods for monetizing AI-based APIs.