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Shamsher's AI PM Brief · Jan 12, 2026

Why Old LLM Systems Waste GPU Memory and How vLLM Fixes It

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Shamsher Ansari · Shamsher's AI PM Brief

When people talk about running Large Language Models (LLMs), they usually focus on GPUs.
But the real performance problem is often memory usage, not compute.

When an AI model starts generating text, it does not know in advance how long the answer will be.

Older systems handle this badly:

  • They reserve a large chunk of GPU memory upfront

  • This memory is reserved “just in case” the response is very long

  • Most responses are short, so a large part of that memory stays empty

In many cases, up to 80% of GPU memory is wasted.

Think of it like this:

You book a 10-seat table for 2 people,
and no one else is allowed to sit there, even though most seats are empty.

Because of this:

  • GPUs can run fewer requests at the same time

  • Systems become slow and bottlenecked

  • Expensive GPU resources are underused

vLLM fixes this problem by changing how GPU memory is managed.

Instead of reserving one big memory block, vLLM:

  • Breaks memory into small blocks (called pages)

  • Uses memory only when it is actually needed

  • Adds more blocks only if the response becomes longer

This is very similar to how modern operating systems manage RAM.

Because memory is flexible:

  • There are no large empty gaps

  • Memory fragmentation is reduced

  • GPU memory is used efficiently

When memory waste is removed:

  • More requests can run in parallel

  • GPUs handle 2× to 4× more workloads

  • Throughput increases without adding more hardware

Same GPUs. Much better performance.

vLLM’s PagedAttention shows that better memory management alone can unlock massive performance gains.

Sometimes, the biggest speedups come not from more power—but from less waste

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