What is metered billing?

Definition

A metered service records usage during work and applies a published rate or pricing formula. The meter must define the unit, measurement boundary, rounding, maximum exposure, timestamps, and evidence that lets the customer verify the final charge.

Agent workflows need authorization that can handle an unknown final total. They can preapprove a cap, purchase increments, reserve funds in escrow, or stop when the meter reaches a threshold, then reconcile the measured usage with settlement.

ELI5

Metered billing charges according to how much of a service was actually used. It works like an electricity meter: the rate may be known in advance, but the final bill depends on measured consumption.

For example, an AI agent might pay for each token or second of external compute. Its wallet can approve a maximum budget and stop the service when the measured total approaches that limit.

Frequently asked questions

What makes a usage meter trustworthy?

The unit, measurement method, rate, rounding, timestamps, limits, and audit evidence should be clear enough for both customer and provider to verify the charge.

How can an agent control metered spending?

It can use per-job caps, cumulative budgets, threshold alerts, incremental authorization, escrow, and automatic stopping when approved limits are reached.

Videos explaining metered billing