Free Reference · Architecture

AI Architecture Decision Guide

Five decisions every AI product team faces, with clear criteria for when to choose each path. Use this before your next architecture review.

5 architecture
decisions
11 options
compared
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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.

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