Make Apps with ChatGPT and Generative AI - Tokenization

The video explains the concept of tokens in OpenAI's GPT models, highlighting that tokens are the currency used for processing prompts and responses. It details how tokens are calculated, with one token being approximately four characters or 75 words. The video also discusses the token limits for different models, such as Da Vinci, which can handle up to 4000 tokens. Additionally, it covers the cost structure, noting that OpenAI charges about two cents per 1000 tokens, but offers an $18 free trial, allowing for extensive usage during development. The video emphasizes OpenAI's transparency in pricing and encourages users to check the pricing section on their website.

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