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British fintech Revolut slashes "AI" coding costs 10x by cutting out Claude and going self-hosted
(www.theregister.com)
this post was submitted on 04 Nov 2026
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About time this hit enterprise.
Been saying the downfall of OpenAI and Anthropic will be local models that can accomplish the same thing without needing a dstacenter worth of GPUs to run.
Plus you have no total token limit on self hosted models. You can let a slop agent run for weeks without ballooning costs or getting rate limited.
And no model censoring, so you can go build that nuclear bomb you always wanted lol.
Both AI giants are already losing a ton of money because their pricing isn't viable for the amount of training they're doing trying to be on top. If they readjust, they're gonna suffocate against much cheaper solutions.
You totally have a limit. It’s what the cards can output.
Revolut has 54x B200 cards (according to their video on this). So their limit is whatever that can output each month
I'm not surprised it's moving this direction, but I am surprised it's moving this direction now.
Hardware is extremely difficult to find right now and token prices are falling off a cliff in terms of price per intelligence. About 6 months ago I was talking about how it's only going to get cheaper from here and still seems to hold up today, we really don't need anything better than Opus 5.5 and compute is only going to keep increasing (price decreasing) who knows what the field will look like next year.
Either way I'm happy to live in a world pushing towards that, just surprised.
The data center is still needed, just not the same scale. You don't run "small" local models to compete with Claude's size. They don't publish numbers, but estimates were like 1-2T params for the models like early Opus. You need a lot of hardware to run those efficiently at a scale an enterprise would need.
Or they just spent enough to upgrade developer desktops with RTX Pro's to run quantized ~100B param models at their desks. Those are very good for coding.
According to them they host 54 B200 cards to do code generation. While claude etc does the high level planning and design
Microsoft predicted this some time ago which is why they have begun pushing a Hybrid Model where tasks are run locally first and only going to the cloud for heavy lift.