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Knowledge about local AI.

Costs, basics and technology: what companies should know before they bring AI into their own building.

Hardware · November 2026 · 15 minWhat hardware does local AI need in a company?Memory, GPU, model size: what hardware local AI needs in a company. Three scenarios with 2026 prices, from a first test to an on-premise AI server.Read article

What this blog is about

Many companies want to use AI without handing their data to cloud providers. Here we explain what local AI is, what it costs and who it pays off for. Local AI means: the language model runs on a computer in your own building or your own data center, not at a cloud provider.

Our articles revolve around three questions. Data protection: where does company data end up when employees use cloud AI, and what does that mean for the GDPR? Costs: what do purchase, power and maintenance cost compared with licences? Technology: which hardware and which open models are needed, and how do you connect existing knowledge?

We write for managing directors, IT managers and data protection officers in mid-sized companies, but just as much for anyone who is simply interested in local AI. No prior knowledge is needed: we explain technical terms and back up our statements with sources. More articles will follow, for example on suitable hardware, open language models and the first steps in your own company. How Alae puts this into practice is shown on the page Local AI.