macrostack

Layer 4 · self-hosting reality check

What it actually takes to self-host vLLM

The docs say 16 GB system RAM. In practice you want 24 GB VRAM minimum for useful production serving. Here is the honest version — real requirements, real monthly cost, what you will be maintaining, and the one thing that catches people out.

Usually reached from OpenAI API (ChatGPT) alternatives, where vLLM is one of the picks.

Wondering whether you need to at all? Is the OpenAI API free? — what the free tier actually allows, and where the wall is.

RAM — documented minimum16 GB system RAM
RAM — what it really needs24 GB VRAM minimum for useful production serving
CPU8 vCPU alongside the GPU
DiskModel weights — 15 GB for a 7B in fp16, more for larger
Monthly cost$300–900/mo for a rented A100 or L40S, against managed inference with a platform margin on every token
Setup timeA day including CUDA
How you install itpip install plus `vllm serve <model>`; it exposes an OpenAI-compatible endpoint on port 8000
Ongoing maintenanceModerate. CUDA and driver versions are the recurring pain, not vLLM itself.
Where it stops scalingThousands of concurrent requests per GPU with continuous batching. This is the serving engine behind a large share of the providers you would otherwise pay.

The thing that catches people out

It pre-allocates almost all GPU memory on startup by design — that is PagedAttention working correctly, not a leak. But it means nothing else can share the card, and `gpu_memory_utilization` must be lowered if you want to co-locate anything. People see 95% VRAM used at idle and assume something is broken.

When not to self-host vLLM

Your traffic is spiky or unproven. A GPU bills whether or not anyone calls it, and below roughly 30% utilisation a managed endpoint wins on cost.

Every guide here carries this section. A site that only ever tells you to self-host is selling something — the useful answer is sometimes no.

Other Layer 4 self-hosting guides

Common questions

How much RAM does vLLM actually need?
24 GB VRAM minimum for useful production serving in practice. The documented minimum is 16 GB system RAM, which is the figure at which the process starts rather than the figure at which it works under real use. 8 vCPU alongside the GPU alongside it.
What does self-hosting vLLM cost per month?
$300–900/mo for a rented A100 or L40S, against managed inference with a platform margin on every token This is commodity VPS pricing and excludes your time, which is the larger cost for most people — budget for moderate. CUDA and driver versions are the recurring pain, not vLLM itself.
How long does it take to set up vLLM?
A day including CUDA, via pip install plus `vllm serve <model>`; it exposes an OpenAI-compatible endpoint on port 8000.
When should I NOT self-host vLLM?
Your traffic is spiky or unproven. A GPU bills whether or not anyone calls it, and below roughly 30% utilisation a managed endpoint wins on cost.
What is the most common mistake when self-hosting vLLM?
It pre-allocates almost all GPU memory on startup by design — that is PagedAttention working correctly, not a leak. But it means nothing else can share the card, and `gpu_memory_utilization` must be lowered if you want to co-locate anything. People see 95% VRAM used at idle and assume something is broken.
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