Are local LLMs ready for production applications?

Large Language Models (LLMs) are advanced AI models that use deep learning to understand and generate human-like text. They can be used locally on local hardware instead of relying on cloud services. Techniques like quantization and pruning can reduce the size of LLMs for local execution. While running LLMs locally depends on specific needs and available resources, they can be a good approach for many AI scenarios. Powerful LLMs like Microsoft's Phi-4 and Deepseek R1 can be executed fully locally and give comparable results to cloud-based models. Distilled versions of LLMs, created using model distillation techniques, can also be used for local AI solutions. Local-hosted LLMs/SLMs can be used in production scenarios with success, providing great results and zero costs.

Article 2m Stefano Demiliani

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