This white paper by Enterprise Strategy Group, commissioned by Dell Technologies, analyzes the cost of inferencing large language models (LLMs) using the Dell AI Factory. It finds Dell’s on-premises solutions are 2.1x to 2.6x more cost-effective than public cloud IaaS, and 2.9x to 4.1x more cost-effective than API-based services like OpenAI’s GPT-4o. Benefits include improved data sovereignty, scalability, and predictability. The Dell AI Factory delivers integrated infrastructure, flexible deployment, strong security, and expert services—making it a strategic choice for scalable, high-performance AI inferencing.

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