Token — Token
Definition: The smallest unit a language model reads and writes — usually a chunk of a word, not a full word. Tokens are how you get billed, rate-limited, and bounded by context window, so they deserve attention in every architecture decision.
Example
Trimming a 4,000-token system prompt to 800 cut our monthly API bill by 60% with no quality regression.
When you'll hear it
Token shows up most often in AI strategy reviews, model evaluation discussions, and product roadmap meetings. When someone uses it, they're usually referring to token — and they expect the room to already know what that means.
FAQs
What does Token stand for?
Token stands for Token.
What does Token mean in AI and machine-learning?
The smallest unit a language model reads and writes — usually a chunk of a word, not a full word. Tokens are how you get billed, rate-limited, and bounded by context window, so they deserve attention in every architecture decision.
Where will I hear Token used at work?
Token comes up most often in AI strategy reviews, model evaluation discussions, and product roadmap meetings. It's used as shorthand for token, so people assume you already know the term.
Related terms
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