# Vercel — How Fluid compute works on Vercel

- Company: Vercel (vercel.com)
- Announced: 2025-03-03T13:00:00+00:00
- Category: capability-change
- Coverage: not counted
- Announcement: yes
- Group: announcements
- Source: https://vercel.com/blog/how-fluid-compute-works-on-vercel
- Record: https://forck.live/items/20897-how-fluid-compute-works-on-vercel
- Subject: v0 / AI SDK / AI Gateway

Vercel introduced Fluid compute, a next-generation compute model that dynamically adjusts to traffic demands, reuses existing resources, and minimizes cold starts. The Vercel Functions router orchestrates execution to optimize resource usage, and projects with Fluid enabled have cut compute costs by up to 85%.

## Evidence

Verbatim from https://vercel.com/blog/how-fluid-compute-works-on-vercel:

> Because Fluid prioritizes existing resources with idle capacity, projects with Fluid enabled have cut compute costs by up to 85%.

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Record: https://forck.live/items/20897-how-fluid-compute-works-on-vercel
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