Local and on-device AI concept
Local versus cloud AI
ReferenceLocal AI vs cloud AI is mainly a choice about where a model processes your request: on your device or on remote servers operated by a provider. Local models can work without an internet connection once set up, while cloud models use remote computing resources. Which is preferable depends on the task, available hardware, connection needs and the service’s data practices.
Reviewed 2026-10-09
Where the model does its work
Local AI means the model computation happens on the device you are using; cloud AI means a provider’s remote servers handle that computation. A local model has to be available on the device and fit its hardware resources. A cloud model can run without using your device’s memory for inference, but needs an internet connection. A model on another computer you control is a third arrangement: it is remote from your screen, but that alone does not make it a provider’s cloud service.
The trade-offs that matter
A local model can keep working offline after its files are on your device, provided the rest of the workflow does not rely on the internet. Running inference on your own device can also avoid sending the prompt to a cloud model. But “local” does not by itself settle privacy: check the data path, including whether an app offers cloud models or web search, and what information it sends for model searches or updates. Cloud services need a connection and process requests remotely; their retention and use of data depend on the service’s stated practices.
When each can make sense
Local AI can suit work that must continue without internet access, or where keeping a prompt on the same device is a priority. First check that the model fits the device and supports the task. Cloud AI can suit someone who wants a hosted model without using their computer’s memory for inference, and who can rely on an internet connection. For either option, check the model’s capabilities and the service or app’s data practices; the location alone does not tell you whether it meets your needs.
Local does not always mean on this device
An app can run on your computer while sending a request to a cloud model; the app’s location and the model’s location are different things. Likewise, “local” may mean a model running on another computer in your home or workplace, rather than on the device in your hand. And having a local model does not guarantee an entirely offline workflow: finding or downloading models and checking for updates may still need the internet. Ask where inference runs and what other parts of the workflow connect to a network.
Questions people ask
What is the difference between a local LLM and a cloud LLM?
A local large language model runs on your device and uses its available hardware resources. A cloud model runs on a provider’s remote servers, so inference does not use your computer’s memory, but it requires an internet connection.
Is local AI more private?
It can reduce how often prompts are sent to a provider, but “local” is not a privacy guarantee. Check whether the app uses cloud models or web search and what information it sends for updates or model searches.
Can local AI work without the internet?
Yes, if the model is already on your device and the parts of the workflow you need do not require a network connection. Searching for or downloading models and checking for app updates can require internet access.
Learn more
- Choose a Cloud, Local, or Remote Model
Its model picker documentation, checked 2026-10-09, distinguishes hosted, on-device and remote-device inference and lists factors to consider.
- Offline Operation
Its offline guide, checked 2026-10-09, explains which local model tasks work without internet and which app operations need connectivity.
- LM Studio Desktop App Privacy Policy
The policy, checked 2026-10-09, describes the app’s stated data handling for cloud features, model searches and updates.
What changed
Sources
Part of Local and on-device AI: Where computation runsDesign for offline operationMatch the workload to the device