Claude Code for FREE | No Ollama, No GPU, No $200/M Subscription Needed (OpenRouter Setup)

How to Use Claude Code for Free with OpenRouter

Introduction to Using Claude Code

• The video introduces a method to use Claude Code without the need for a Pro or Max plan by utilizing OpenRouter.

• It highlights the limitations of running local models through Ollama, which require high-end hardware and can be cumbersome to manage.

Advantages of OpenRouter

• OpenRouter allows users to access cloud-based models directly, eliminating the need for local hosting and complex setups.

• Users only need to configure a few environment variables, making it more accessible than local model management.

Setting Up OpenRouter

• To start, users must create an account on openrouter.ai and generate an API key in the settings section.

• There are two configuration methods: global setup via shell profile or project-specific setup using a JSON file.

Global vs. Project-Level Configuration

• For global configuration, users edit their shell profile to include four specific lines related to API keys and URLs.

• It's crucial that the anthropic API key line is explicitly empty; otherwise, it may conflict with OpenRouter settings.

Project-Specific Setup Instructions

• The project-level setup involves creating a .Claude folder in the project directory and adding a settings.local.json file with necessary environment variables.

• This method keeps configurations isolated from other projects, ensuring no global changes affect different workspaces.

Exploring Free Model Options on OpenRouter

• Users can find free models by searching on openrouter.ai/models; many options are available from various providers like Nvidia and RCAI.

• A built-in router called openrouter/free randomly selects free models but lacks control over which model is used.

Popular Models for Coding Tasks

• The video discusses how actual usage data reveals popular models suitable for coding tasks based on token consumption metrics.

• Models like MiniMax M2.5 are highlighted as effective choices due to their performance in real-world applications.

Cost Considerations for Advanced Models

• Pricing details reveal that top-tier coding models like Claude Sonnet 4.6 have significant costs per million tokens, emphasizing budget considerations when selecting models.

Understanding Cost-Effective AI Model Usage

Cost Efficiency of Mid-Tier Models

• The affordable mid-tier models on OpenRouter cost under $2 for a million tokens in and out, making them economical for extensive use.

• Users can maximize the utility of these models without incurring significant expenses, especially during long sessions or when executing multiple requests.

Configuration Steps for Using Models

• To utilize a model, copy its ID from the OpenRouter page and add it as an environment variable in your settings file. Use "anthropic model" to set this variable.

• If issues arise with the initial key, users can try using "anthropic default sonnet model" as an alternative. Additionally, Claude Code's sub-agent model can be configured for specific tasks.

Demonstration of Model Functionality

• A demonstration is provided using VS Code where the project is set up with the OpenRouter key and selected model before starting a session by typing "Claude." This confirms successful connection through OpenRouter.

• Users can verify their connection status by running "/status," which displays the base URL and authentication token being utilized. Real-time request tracking is available via the OpenRouter activity dashboard.

Practical Application: Building a SaaS Landing Page

• The AI is tasked with creating a modern SaaS landing page that includes various sections like hero, features, pricing tiers, and footer while maintaining a clean design aesthetic with dark colors.

• The AI autonomously generates HTML and CSS files based on user prompts without requiring step-by-step instructions from the user, showcasing its capability to handle complex tasks efficiently.

Analyzing Session Costs

• After completing a session that involved setup confirmation and building a landing page, users can review detailed logs in their OpenRouter activity to see costs associated with each request made during that session.

• Even extensive coding sessions remain inexpensive; typically costing less than one dollar unless large-scale operations are performed—highlighting flexibility since users only pay for what they actually use without being locked into subscriptions.