Firms eye SMEs with smaller, locally hosted AI systems

The availability of smaller systems could lower the infrastructure barrier to AI adoption, although the cost and commercial availability of Entity Data’s proposed SME solutions have not been disclosed.

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Technology firms are developing smaller artificial intelligence (AI) systems that can be hosted locally within business premises, targeting businesses seeking to adopt the technology without investing in expensive computing infrastructure or relying entirely on cloud services.

Smaller, locally hosted AI systems, often called small language models or SLMs, are lightweight AI models that run directly on personal devices such as a laptop, desktop, or phone—rather than on remote corporate cloud servers.

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