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System prompt is not free, it's priced like a chat message.

OpenAI's ChatGPT "custom instructions" do not add to your token count AFAIK. They ARE limited in size, though.

Does it get sent every round trip?

If you've built a thread in OpenAI everything is sent each time

I get “memory updated”. It seems like it has some backend DB of sorts.

Memory is the personalization feature that learns about you.

Ah cool