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The economic implications of tokenization have recently become a black box that is a point of contention in the economic implications of the transition of Large Language Models (LLMs) between experimental prototypes and commercially marketable multimodal systems. Despite the worldwide use of reigning pricing models of the same principle, which all cost according to the input modality, cost differences in relation to the same information are significant: the same information costs significantly different prices depending on whether the information is processed as text, image, audio, or video. A systematic study of five major AI providers (OpenAI, Google Gemini, Anthropic, Perplexity, and xAI) is carried out in this investigation to show that the textual content is not always the most cost-effective form. The study finds what appears to be a paradoxical phenomenon of so-called break-even whereby converting long-form text (over 800 words) into image inputs leads to cost savings of 70–95%. The insights are implemented as empirical scaling laws and form the basis of the realization of ModalRoute, a framework of intelligent routing that allows one to choose the most effective input modality dynamically. In practice, empirical tests at production settings have shown that ModalRoute demonstrates a reduction of up to 68.3 percent of the cost while retaining 97.3 percent of the original performance. A universal assessment package and verifiable data are available to standardize the nascent science of cross-modal token arbitrage.
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Sahu et al. (2026) studied this question.
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