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FrugalRoute is a token-efficient LLM routing agent built for the AMD Developer Hackathon ACT II, Track 1. Instead of sending every request to an expensive remote model, it first tries a free local model served on an AMD MI300X GPU via Ollama, giving that model access to real tools (calculator, web search) to answer directly when possible. A calibrated confidence gate — fit with Platt/Isotonic scaling and an AutoMix POMDP belief model — decides, per request, whether the local answer is trustworthy enough to keep or whether to escalate to a paid Fireworks-hosted model. A semantic cache and prompt compression layer further cut redundant remote calls. The result: most traffic gets resolved for free, with paid tokens reserved only for genuinely hard cases, all while an enforced accuracy floor keeps output quality high.

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