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How LLM Quantization Works: INT8, INT4, GPTQ, and AWQ Explained
Latest   Machine Learning

How LLM Quantization Works: INT8, INT4, GPTQ, and AWQ Explained

Last Updated on June 14, 2026 by Editorial Team

Author(s): The Dev Loop

Originally published on Towards AI.

A plain-language guide to reducing model precision: the mechanism, the accuracy trade-off, and how to choose a method.

You found the perfect open-weights model. You read the benchmarks, you cloned the repo, and then you hit the wall every engineer hits eventually. A 70-billion-parameter model in standard FP16 precision needs roughly 140GB of memory just to load, far more than what fits on a consumer GPU.

How LLM Quantization Works: INT8, INT4, GPTQ, and AWQ Explained

Fewer bits per weight, smaller model: INT4 shrinks a 70B model from ~280 GB to ~35 GB. (Image by Author)

After the opening, the article explains that quantization reduces memory by shrinking the number of bits used to store each model weight (e.g., FP32/FP16 to INT8/INT4), making the model small enough to run on limited hardware. It walks through the underlying mechanics step by step—finding a weight range, computing a scale, rounding weights into integer “bins,” and then dequantizing during inference—highlighting that quantization error is permanent and comes from the rounding step. It then quantifies the “what you save” side with memory math and notes that INT8 is often a near-safe, low-quality-drop option, while lower bit widths face two key failure modes: outliers that force the scale to cover extreme values (crushing smaller weights) and a non-linear “precision cliff” where quality can suddenly fall below a threshold. To address these issues, it surveys post-training methods like GPTQ (layer-wise, error-minimizing quantization), AWQ (activation-aware protection of important weights for strong INT4 quality), and GGUF (a local-friendly hybrid format that can split compute across CPU/GPU and offers multiple quantization levels). Finally, it provides a practical decision rule: start with INT8 for production on GPUs, choose AWQ/INT4 for tight VRAM budgets on NVIDIA hardware, use GGUF for local runs, and—most importantly—do not assume quality below 4-bit; instead, measure with an evaluation set because the cliff point is model-dependent.

Read the full blog for free on Medium.

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