Criterion
Cloud AIOpenAI, Google, AWS …
On-premise AIOn-premise · your own hardware
Data flow
Through provider data centres
Stays within the defined boundary
Data-protection assessment
Data processing agreement + setup needed
Less data transfer required
Trade secrets
Secured by contract
Controllable at the architecture level
Cost model
Variable · scales with usage
Plannable · investment + maintenance
Internet dependency
High · no connection, no operation
Low · runs even on your internal network
Response time
Depends on API + internet
Can be very low depending on hardware
Vendor lock-in
High · API migration is costly
Low · open-source models usable
Model control
Provider controls versioning
You choose the model and the update timing
On-premise AI isn't automatically better, it's different. Which model fits which
data and which use case depends on the specific setup. We help you make the
decision with a clear head.