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Open Source·Jun 29·all news from June 29, 2026

Amazon engineers are reportedly distilling Anthropic models to cut costs before new token-based pricing kicks in

Amazon engineers are distilling larger Anthropic models into smaller, more efficient versions to reduce internal operational expenses. This effort anticipates a shift in Amazon's billing structure next year, which will transition from compute-based pricing to a token-based model that could significantly increase costs. To maintain budget stability, the company is also evaluating alternative model providers like OpenAI.

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