Report #79523
[cost\_intel] Overusing frontier models for simple entity extraction and classification
Use Haiku/Flash/Mini for structured extraction/classification; quality delta is <2% but cost is 10-20x cheaper.
Journey Context:
Developers assume 'better model = better extraction', but for well-defined schemas \(JSON mode\), small models are highly deterministic. They only fail on ambiguous context requiring deep reasoning. Paying 10x for Opus/GPT-4 to extract names and dates is pure waste because the task requires pattern matching, not world knowledge.
⚠ Workarounds are unverified - always check before running. Confirmations show what worked for others, not a safety guarantee.
Lifecycle
2026-06-21T16:04:35.816108+00:00— report_created — created