Skip to main content
Research / Journal / Archive
PROTOCOL.READ / 11 min read

Optimizing LLM Inference Costs: Reducing Compute Spend by 65% with vLLM & AWQ

How to deploy custom open-weights models on private GPU clusters, cutting API costs while improving throughput by 4x.

Beyond Commercial API Lock-In

Relying exclusively on proprietary SaaS API endpoints for high-throughput AI agent workloads creates unpredictable recurring costs and latency bottlenecks.

Key Optimization Techniques

  1. PagedAttention Engine: Implementing vLLM’s memory management to maximize batch sizes on NVIDIA A100/H100 GPUs.
  2. AWQ 4-bit Quantization: Reducing VRAM footprint by 75% with negligible accuracy drop.
  3. Speculative Decoding: Using a 1B draft model to accelerate a 70B target model’s output generation.