18d • 🤖 AI
The Future Is Local AI
Are we about to see the end of the $20 monthly AI subscription?
I just read a great article exploring why the future of AI might be moving away from giant data centers and right onto our local workstations.
- Open source models are catching up to big names like OpenAI and Anthropic in as little as 4 months.
- The gap in performance between paid frontier models and free open weight models shrank from over 8% to just 1.7% in a single year.
- Running models locally is becoming a reality as the latest MacBook Pro M5 Max can handle models with up to 134.9 billion parameters.
- Big providers are facing massive losses with OpenAI projecting a 14 billion dollar loss for 2026 which could lead to much higher subscription prices for us.
- Small specialized models can achieve GPT 4o level performance at only 2% of the cost when fine tuned for specific tasks.
- Local AI gives us total privacy and eliminates those annoying rate limits that slow down our automation workflows.
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The Future Is Local AI
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