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BYOK explained: using AI with your own API key

With BYOK, you choose the AI provider and model. Hosted API use is billed by that provider, while a local model runs on your hardware. Whether this fits depends on how you work and what you would pay for a bundled plan.

On this page

  1. What BYOK means
  2. Why people choose BYOK
  3. Where BYOK is the worse choice
  4. Keeping metered cost predictable
  5. What the SideNote Pro licence covers

What BYOK means

Bring your own key means an application uses AI credentials that you supply, for a provider you chose, instead of bundling AI usage into its own licence or subscription.

SideNote Pro ships with no AI credentials, no bundled credits and no AI endpoint of its own. You configure a provider profile with a base URL and model, and add a key if that endpoint requires one. Requests go from your machine to the endpoint directly.

The two arrangements side by side
Bundled AI subscriptionBYOK
Who holds the API keyThe vendorYou, when the endpoint requires one
Where requests goThrough the vendor's server, then to a modelFrom your machine to your provider
Who chooses the modelThe vendor, usually from a short listYou, from anything your provider offers
How you payFlat recurring feeHosted providers may meter requests; local models have no API charge
Cost when idleThe same as when busyNo request charge; check provider terms
Cost when heavyThe same as when idleHosted API costs can scale with usage
Setup effortSign in and goConfigure an endpoint; hosted providers typically need an account and key

Why people choose BYOK

Model choice
You are not restricted to whichever models a vendor has a commercial arrangement with, and you can use a new model the day your provider ships it.
The right model per task
A fast cheap model for rewriting a sentence, a heavier one for a hard problem, chosen per request rather than per subscription.
Independent visibility
Your provider's dashboard shows your usage directly, not filtered through an intermediary's summary.
One less party
Requests do not pass through a vendor-operated relay. That is one fewer organisation holding your prompts.
Local models
BYOK is what makes pointing the same application at localhost possible at all.
No lock-in
Changing provider is editing a base URL, not migrating your working life.
Nothing wasted on idle months
If you use an assistant heavily some weeks and not at all others, metered billing matches that shape.

Where BYOK is the worse choice

BYOK is not always cheaper, or always the better choice.

Heavy daily use of an expensive model can cost more than a flat subscription
Metered billing is only cheaper below the crossover point, and long conversations with large context reach that point faster than people expect.
It is not automatically more private
You removed the vendor from the path. Your provider is still there, receiving everything, under its own retention and training policies. If you have not read them, you have not gained privacy, you have changed who holds the data.
Setup is a real barrier
Creating an account and adding credit or a payment method is a genuine few minutes before the first useful answer. Signing in with OpenRouter in your browser spares you copying a key, not the account or the credits.
You own the operational problems
Rate limits, quota exhaustion, a deprecated model, an expired key: nobody else is going to notice these for you.
Compatibility is not uniform
An OpenAI-compatible endpoint may not support image input, may ignore reasoning_effort, and may not return usage metadata.

A reasonable way to decide: if you would be annoyed at paying a subscription during a quiet month, BYOK suits you. If you would be annoyed at watching a meter during a busy one, it does not.

Keeping metered cost predictable

The discomfort of metered billing is mostly about visibility, and it is addressable.

  • Set a hard spending cap in your provider's dashboard. This is the real limit, and it is the first thing to do after creating a key.
  • Set the optional daily estimate limit in SideNote Pro as a local seatbelt. It works from local estimates and cannot see other applications using the same key, so it complements the provider cap rather than replacing it.
  • Use local usage tracking to see which provider and model combinations dominate your spending.
  • Read reducing your AI API costs once. Most of the savings come from two or three habits.

Settings › Usage & cost

Three usage cards, Today, Last 7 days and Last 30 days, each showing a token count and an estimated dollar figure.
Today, the last seven days and the last thirty, in tokens and in estimated dollars. Some usage has no configured price appears when a model's rate has not been entered yet, rather than a zero that looks like free.

Settings › Usage & cost

The Enable local daily usage limit switch turned off, the disabled Daily estimate limit box beneath it, and captions explaining that the limit is a local estimate and that the ledger stores only counts, dates, provider and model provenance and estimates.
The local seatbelt. It is a SideNote Pro estimate rather than a provider billing limit, and it cannot see other applications spending against the same key, which is why the hard cap in your provider dashboard is still the first thing to set.

What the SideNote Pro licence covers

The one-time SideNote Pro licence covers the Windows application. It does not include any AI usage, and it never will while SideNote Pro is BYOK.

You pay your AI provider separately, according to that provider's own pricing and terms, for what you actually use. If you use a local model on your own hardware, you pay nothing beyond the electricity and the machine you already own. See pricing on the home page.

Settings › License

The License section showing SideNote Pro with a lifetime license active on this device, and a Deactivate this device button.
The licence section shows this device's entitlement to run the application and a button to release it. There is no AI balance because there is no SideNote Pro AI account. Your AI usage is between you and your provider.

Keep reading

  • FeatureBring your own key (BYOK)Configure your own OpenAI-compatible endpoint, with a key if it requires one. Requests go directly there.
  • GuideOpenAI setupCreate a key, connect it in the quick setup or by hand, and send a first request without writing code.
  • GuideBYOK and privacyWhat BYOK does and does not do for privacy, and where your data goes.
  • TipReduce API costsWhere BYOK spending actually goes, and how to bring it down.
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A docked BYOK AI panel for Windows. Bring your own provider and model, and keep your conversation history on your own machine.

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