Token

Also known as: Tokens, Tokenization

In one sentence

A chunk of text (usually a word or part of a word) that AI processes. 'Chatbot' might be one token or split into 'chat' and 'bot'.

AI breaks sentences into pieces (tokens) like you'd break a sentence into words. Sometimes one word = one token, sometimes it's split up.

If your prompt is 100 tokens and the response is 200 tokens, you used 300 tokens total. Many AI services charge per token.

Learn more about Token in these guides:

Master context window management for AI. Learn strategies for long conversations, document processing, memory systems, and context optimization.

AI APIs charge per token. Learn how tokens work, how to estimate costs, and how to optimize spending.

Optimize AI systems for speed and cost. Techniques for reducing latency, controlling API costs, and scaling efficiently.