Is multi-provider redundancy worth the cost?
Running on a single LLM provider is cheapest until that provider has an outage — then every minute of downtime costs you revenue, SLA credits, or churn. Routing a slice of traffic to a second provider buys resilience but adds cost. This planner puts the redundancy overhead next to the expected downtime cost it avoids so you can make the call with numbers.
How it works
The overhead is the premium you pay to send part of your traffic to a pricier secondary provider:
overhead = monthly_spend × secondary_traffic_share × price_premium
The avoided loss is your single-provider expected downtime cost, which redundancy largely removes:
single_provider_downtime_cost = downtime_probability
× minutes_per_month
× cost_per_minute
If avoided loss exceeds overhead, redundancy pays for itself.
Tips for a sound decision
- Use a realistic per-minute cost. Include lost revenue, SLA penalties, and support load — not just compute. This number dominates the result.
- Don’t assume perfect failover. Shared upstreams and slow detection mean redundancy reduces, not eliminates, downtime cost.
- Right-size the secondary share. You rarely need a 50/50 split; a small warm standby plus fast failover often captures most of the benefit at a fraction of the overhead.