It costs something like 0.03-0.06 cents per thousand tokens. So for 32k that's about $1-3 for reading and another $1-3 for the response.

So sure, still cheap for a doctor appointment, but not pennies. Do it 30 times per hour and you could've just hired a consultant instead.

Does it reason as well with 32k tokens as with 1k tokens? Like you said, humans find it difficult to really comprehend large amounts of content. Who says this machine isn't similarly limited? Just because you can feed it the 32k simultaneously doesn't mean it will actually be used effectively.