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Igor Bonifacic for Engadget For a lot of people, the most appealing reason to use a local chatbot will be the amount of money you can save. Right now, running a local model on your iPhone involves, at most, a one-time purchase of $5. Compare that to a subscription from any of the big AI labs. For instance, if you want to use ChatGPT without ads, you'll need to spend at least $20 per month on OpenAI's Plus plan. You could get away with the more affordable Go tier or even stick with the free offering if you plan to use ChatGPT only sporadically, but then you also need to consider rate limits. Si

Antrhopic Before I get to Anthropic's specific policies, let's talk about why AI rate limits exist in the first place. When you type a prompt into a chatbot, a process called inference occurs. Behind the scenes, a large language model is applying the patterns it learned in training to an input it hasn't seen before. Inference is computationally expensive and, more importantly, there's no natural ceiling in terms of cost. As an AI company, you have a love-hate relationship with your most engaged users because, without putting restrictions on them, they can cost you thousands of dollars in proce