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What the model actually reads

How text becomes tokens, and how tokens are billed.

Module 1, lesson 3 of 4 · 4 min

Key term: Token A piece of text, often a word or part of one, that a model reads and writes.

Does strawberry reach a model as ten letters? Before a model reads text, a tokenizer splits it into Token A piece of text, often a word or part of one, that a model reads and writes.: whole words, pieces of words or single characters. Here's a sentence split by one model family's tokenizer, one chip per token. Type a sentence from your own work, then try How many r's are in strawberry?

Summarize·the·Q3·report·on·our·Saskatoon·warehouse·in·3·bullet·points.

Each chip is one token. The two colors just tell neighbors apart. · marks a space.

18 tokens 70 characters GPT-4o’s tokenizer

Estimated from GPT-4o’s count

Cost
About $0.01 to send it 1,000 times to GPT-5.4 mini, at $0.75 per million input tokens. Price checked 9 Nov 2026
Window
GPT-5.4 mini’s window of 400,000 tokens could hold about 22,000 copies of it, with no room left for a reply. Checked 9 Nov 2026

Step 1 of 4 What the model actually reads