> as a clear sign they are scared shitless of local models
Partially agree and partially disagree. Qwen 3.8 next (120b + 50b ngrams) is at the upper end of a local model, and serving it at good speeds (esp for pp) is not cheap. So no, oAI are not particularly scared that everyone will suddenly start using local models of this size / quality.
I do agree that having these models in the open is great pressure on the price point of "small" API models (like luna, haiku, etc). And that's good news for us consumers and for the field in general - more competition is always better.
And on the cost estimate, the true power of local models is the guarantee of running them on prem w/o any data going out. Price wise it is still cheaper to go API, for small teams.
Partially agree and partially disagree. Qwen 3.8 next (120b + 50b ngrams) is at the upper end of a local model, and serving it at good speeds (esp for pp) is not cheap. So no, oAI are not particularly scared that everyone will suddenly start using local models of this size / quality.
I do agree that having these models in the open is great pressure on the price point of "small" API models (like luna, haiku, etc). And that's good news for us consumers and for the field in general - more competition is always better.
And on the cost estimate, the true power of local models is the guarantee of running them on prem w/o any data going out. Price wise it is still cheaper to go API, for small teams.