When it is cheaper, and the "lower quality" model is adequate for the task at hand.
Plenty of problems have a low(er) skill/intelligence floor, anyone who uses the dual-mode agent paradigm (plan, then act) figures out the second phase can be completed by a less capable model. Even when disregarding costs - speed is important here because the agent can rapidly iterate without human supervision, based on compiler errors, lint and test failures
A coding agent driven by a large LLM can delegate smaller tasks to a faster model. For example searching through the codebase for references, examples, or established patterns. They are treated as tools and don't pollute the main agent's context.
When it is cheaper, and the "lower quality" model is adequate for the task at hand.
Plenty of problems have a low(er) skill/intelligence floor, anyone who uses the dual-mode agent paradigm (plan, then act) figures out the second phase can be completed by a less capable model. Even when disregarding costs - speed is important here because the agent can rapidly iterate without human supervision, based on compiler errors, lint and test failures