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RW AI Labs

Is it cheaper to run AI on your own machine?

Compare what you pay for cloud AI with running models on a machine you own: hardware, setup, electricity and support. The calculator shows both totals and when your own machine would pay for itself. No email needed.

What you spend on cloud AI

Everyone who would use it, not only today's subscribers.

£

What you pay now, or would pay, for a business plan such as ChatGPT, Claude or Copilot. Check your invoice.

£

API usage and any other AI tools billed monthly. Leave at £0 if none.

Running it yourself

The machine
£

Installing, configuring and training your team. Our fixed price is filled in; change it to compare a quote.

W

A Mac Studio draws far less than a PC with a large graphics card. Use the maker's figure for your machine.

h

Office hours, or 24 if it never goes off.

p

Pence per kWh, from your bill.

£

If you'd pay someone to keep the models and software up to date.

yrs

Three is a fair working life for the hardware.

Over 3 years

Cloud AI£9,000
Your own machine£8,773
Local saves£227
Electricity a year£91
Local pays for itselfabout 3 years

This compares money only. It leaves out that the best cloud models are still ahead of models you can run yourself, and that one machine serves a limited number of people at once. If cloud comes out cheaper and your data can go to the cloud, cloud is the better choice.

How it's worked out

  • Cloud = (people × subscription + other cloud spend) × 12 × years.
  • Electricity a year = watts ÷ 1,000 × hours a day × 365 × unit rate.
  • Your own machine = machine + setup + (support × 12 + electricity) × years.
  • Break-even = machine and setup ÷ what you stop paying each month.

A worked example

Ten people on £25-a-month subscriptions spend £9,000 over three years. A Mac Studio, M5 Max (£2,499) with our £6,000 setup, drawing 100 W for 10 hours a day at 25p a unit, comes to £8,773. It pays for itself in about 3 years: close to even. With fewer people, cloud wins; with more, or with API bills on top, your own machine pulls ahead.

Machine prices are UK starting prices we checked in October 2026: Apple's own store for the Mac Studio, Scan for the DGX Spark. They change, so check before you buy.

Questions people ask

Is running AI locally cheaper than ChatGPT or Claude?
Sometimes. For a handful of people on subscriptions of around £20 to £30 each, cloud usually costs less. It changes with more people, heavy API use, or when you'd otherwise pay for an enterprise plan to keep data private. Put your own numbers in and see where the lines cross.
Are local models as good as the best cloud models?
Not quite. Open models you can run yourself trail the best cloud models by months, not years, and they're more than good enough for summarising, drafting and searching your own documents. For the hardest reasoning or the latest features, cloud models are still ahead.
How many people can one machine serve?
It depends on the model and how people use it. A single desktop machine suits a small team taking turns; many people asking at once needs more powerful hardware or more than one machine. We size it with you before you buy anything.
Does the setup price include the hardware?
No. Our setup is £6,000, and you buy the machine separately, so you own it outright. We tell you what to buy, and what not to, before you spend anything.
Is anything I type stored?
No. The sums run in your browser and nothing is sent anywhere. If you choose to talk it through with us, the contact form sends your message like any other.

More on what we install and how: Private AI.

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