Why is transparent usage-based utility pricing essential when selling computing infrastructure to engineers?

Erik Bernhardsson
Replied byErik Bernhardsson

Founder & CEO at Modal

Niche: AI
Revenue: Approx. USD 1.5 Million/month
Location: New York, New York, United States
Started: 2021

Engineers harbor a deep disdain for complex tier negotiations, hidden egress charges, and mandatory enterprise annual commitments. If a developer needs three GPUs for ten minutes to run a batch evaluation, they should be billed down to the millisecond for exactly that compute time and not a penny more. Radical billing transparency builds developer trust and allows companies to scale expenditure strictly alongside their own commercial traction.

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