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Startups often pitch AI as a silver bullet for efficiency: automate tasks, reduce headcount, and scale faster. But here’s the reality—AI can just as easily increase your costs if it’s not planned strategically.
At TLVTech, we’ve seen founders burn budgets on AI infrastructure that delivers little ROI. The question isn’t “Can we use AI?” but “When does AI actually pay off?”
1. Automating Repetitive Work
AI shines in back-office tasks like document processing, customer support, or data classification—cutting manual work and reducing operational costs.
2. Scaling Without Headcount
Instead of hiring 10 more analysts or support agents, AI models can handle the load—especially in startups scaling fast.
3. Smarter Infrastructure
AI-driven monitoring and resource allocation in cloud environments can optimize usage and lower compute bills.
4. Faster Product Development
AI-assisted coding, testing, and bug detection shorten development cycles, saving engineering hours.
1. Infrastructure and Compute
Running large models—especially fine-tuned or self-hosted—can skyrocket your cloud bill. LLMs are powerful but expensive to scale.
2. Model Training & Maintenance
AI isn’t a one-off build. Models degrade over time (data drift), requiring retraining, monitoring, and continuous updates.
3. Talent Costs
Hiring ML engineers and data scientists is expensive, and often overkill for early-stage startups.
4. Overengineering
Many teams build AI features where simple rules would do—adding cost without delivering real business value.
When evaluating AI, CTOs and founders should ask:
If the answer to the last question is “no,” then AI is a cost center—not an advantage.
AI is a tool, not a guarantee of efficiency. In some cases, it will slash costs and give your startup leverage. In others, it can become a drain that distracts from your core product.
At TLVTech, we help startups cut through the AI hype and design architectures that balance cost with value—so AI becomes a growth driver, not a financial liability.
- gRPC is a high-speed, open-source system created by Google, used for service joining and data transfer using HTTP/2. - gRPC's architecture focuses on breaking down big problems into small ones for easy, efficient resolution. - It uses Protocol Buffers (Protobufs) for data format, which set rules for data and convert the rules into code. - Compared to REST APIs, gRPC is more efficient due to its use of HTTP/2 and Protobufs, but REST is simpler and lighter. - gRPC supports video streaming with its bi-directional ability and can be paired with multiple languages like C# or GoLang. - gRPC can be integrated easily with Python and Java, requiring installation of libraries and the creation of a .proto file. - According to online community discussions, gRPC, REST, WebSockets, and GraphQL each have their uses and strengths depending on the project's requirements. - gRPC is beneficial for microservices over Kafka due to its data serialization and deserialization capabilities. It can be used with Spring Boot or C# for creating microservices.
- A Request for Proposal (RFP) is a business tool that describes a project's needs and requests proposed solutions from vendors, making business communications clear and facilitating better deals and projects. - RFPs aid in negotiations, defining the scope of work, budget, timeline, and selection criteria. - An effective RFP contains a clear introduction, company overview, detailed project specifications, and vendor selection criteria. - Common mistakes in crafting an RFP include vague requirements, overly technical language, and unrealistic timelines or budgets. - Different industry sectors have specific RFP templates; these should retain the core structure while adding elements relevant to the particular sector. - An effective RFP response understands the request, provides clear answers, and aligns the company's story to the issuer's needs. - The RFP process includes identifying the need, drafting the RFP, issuing the RFP, reviewing and evaluating responses, making a selection, and maintaining communication with the vendor. - Quality RFP templates and examples can be found online, e.g., on websites like Hubspot, Zbizlink, or PandaDoc. - Effective RFPs are detailed, well-structured, focused, clear, and provide context, urgency, and a clear call to action. - In the construction industry, RFPs are vital, acting as a bridge between owners and contractors, and helping to attract the best-suited company or professional for a given project.
TLVTech, a leading mobile app development company based in Herzliya, Israel, is thrilled to announce its recognition as one of the top 100 fastest-growing companies on Clutch, the leading global marketplace of B2B service providers. TLVTech secured an impressive 16th place ranking based on its remarkable revenue growth from 2021 to 2022. This marks TLVTech's first year of winning this prestigious award, further cementing its position as a rising star in the industry.
