In this guide
01Proprietary vs Open-Source
02RAG vs Fine-tuning
03Single Agent vs Multi-Agent
04Sync vs Async Inference
05Vector vs Full-text vs Hybrid
Need help making these decisions for your product?
Talk to an engineer →
Decision 01
Proprietary LLM vs Open-Source Model
Use Proprietary (GPT-4o, Claude, Gemini)
When performance, speed, or multimodality is the priority
- You need state-of-the-art reasoning without managing GPU infrastructure
- Your use case involves complex tasks, long context, or image/audio inputs
- You're prototyping fast and don't have ML infrastructure expertise in-house
- Token cost at your current volume is acceptable relative to build overhead
Use Open-Source (Llama, Mistral, Falcon)
When data residency, control, or cost at scale is the constraint
- Data privacy or regulation prevents sending data to third-party APIs
- You need full control over fine-tuning, model behaviour, or output format
- Per-token pricing at your projected volume makes SaaS APIs unsustainable
- You're building a product where the model itself is part of the IP
Key question
"Can your use case tolerate a third-party API dependency, or do data residency requirements or cost at scale require self-hosting?"
Decision 02
RAG vs Fine-tuning
Use RAG (Retrieval-Augmented Generation)
When the challenge is what the model knows
- Your knowledge base changes frequently — docs, policies, product data
- You need citations or source attribution alongside the answer
- You want to add domain knowledge without ML infrastructure or labelled data
- You need the model to answer questions about specific, private documents
Use Fine-tuning
When the challenge is how the model responds
- Style, tone, or output format must be tightly and reliably controlled
- Your task is narrow and well-defined with abundant labelled examples
- Latency or cost of multi-step RAG retrieval pipelines is a constraint
- You're teaching a new task, not adding new knowledge
Key question
"Is your challenge about what the model knows, or how it responds? RAG changes the input; fine-tuning changes the model."
Decisions 03–05 are ready.
Enter your email to unlock Single vs Multi-Agent, Sync vs Async, and Vector vs Full-Text Search guidance.
No spam. We'll also email the full guide as a reference.