Parameters are the learned numbers inside the model, and they are all it knows.
A 7B model has seven billion of them, which is where the name comes from.
They are spread across attention weights, feed-forward layers and the embedding table.
Most of them sit in the feed-forward layers, not in attention.
Nothing is stored as a fact you could look up, since knowledge is smeared across the whole set.
Memory needed is roughly two bytes per parameter at half precision.
So a 7B model needs about 14 GB just to hold its weights.
Quantising to 4 bits brings that near 4 GB, which is why laptops can run these at all.
Training needs several times more, for gradients and optimizer state.
More parameters generally means more capability, more cost and more latency.
The relationship is smooth and predictable rather than sudden.
Data quality and quantity matter at least as much as raw count.
A well-trained 7B model beats a badly trained 70B one on most tasks.
Mixture-of-experts models quote a total count but only use a fraction per token.
Parameter count is a rough guide to cost and a poor guide to quality.