Why you NEED to be running local AI models (FULL beginners guide)

I'm about to show you the future of AI,

AI agents, and OpenClaw. Over the past

two months, I've spent over $50,000 to

use, test, and learn about local AI

models. What I learned, I think, can

dramatically change your life and save

you tons of money, even if you're on a

cheap computer. You don't need to buy

Mac Studios like me. In this video, I

will cover everything local AI models.

I'll cover what computers you need, what

local AI models even are, which models

you can run, what use cases you can do

today, and how this lets you use Open

Claw completely for free. I'll also show

you a glimpse of the future that I am

100% confident is what's going to

happen. By the end of this video, you'll

be a local AI master and you'll be

running your own local super

intelligence on your computer. So, let's

lock in and get into it. So, this might

be my most important video yet. I'm so

excited to take you through what I've

learned over the last couple months,

even if you have no idea what local AI

models are. You're going to get so much

out of this video. So, let's start off

with why local AI is so important and

why you need to be using it. This is

what you're probably doing today. If

you're on Chad GBT or Claude or using

any of the AI frontier models that

everyone knows about, you're using a

cloud model. That means you're using AI

that are running on these big servers

that might be underground or one day in

space because of Elon or might be on an

island. But because you're using these

models that are running on these

servers, that means a lot of different

things. One, it's expensive. You're

paying for every token you use. Every

time you send a prompt to these servers,

it's doing a bunch of calculations and

they're charging you for each one of

those calculations. These are where

these massive API bills are coming from.

These are where the $200 month

subscription plans are coming from and

all your API usage. It's very expensive

to be running AI models on these

billions of dollars of chips. It also

has many other downsides. Zero control.

A lot of people complain all the time.

They feel like their AI models are

getting stupider. In reality, they

probably are. These AI companies are

constantly dialing the knobs and

changing things to try to save money.

You have zero control over the AI models

running on these servers. You have zero

privacy. Every message you send to Chat

GPT or Claude or Gemini or any AI model

you're using on the cloud, those

employees can read those logs. Nothing

you say is private and secure. Every

question you ask about your health or

maybe if you're a sicko and you have

your own AI girlfriends, they can read

all of those messages you're sending.

It's also laggy. You need to be

connected to the internet. If you don't

have great internet, it could take a

while to get your prompt sent there and

sent back. So, there's a high latency.

And on top of that, it's just not

scalable. A lot of people have been

learning this lately with OpenClaw.

Maybe you connect it to Opus 46 API. You

send a bunch of prompts. You look at

your API bill and whoops, you spent

$1,000 over the last day cuz you sent a

bunch of prompts. It's not scalable at

all. And if you want super intelligence

working for you 247, it's going to cost

you millions of dollars. But with all

that being said, you do get one benefit,

which is you get front tier AI. You're

getting the best AI models. They're

running on these servers and you're

getting the best performance. That is

probably what you're used to today. But

where I strongly strongly believe the

future is going and what I actually

believe you will be doing in the next 12

months is you will be using local AI

models. What are local AI models? These

are AI models. Instead of all these

complex multiplication equations

happening on servers across the world,

they're happening locally on the Mac

Mini on your desk or the Mac Studio or

the old dusty Lenovo laptop, whatever

you're using. The models run locally and

that has a tremendous amount of

benefits. First of all, it's completely

free, right? You're not paying for

tokens. It is just the cost of the

electricity going into the computer you

have plugged into the wall. It's fully

customizable. If you want to take a

local model and make it sound like you

or make it rap like Kendrick Lamar, you

can do that. They are fully

customizable. It's also fully secure and

private. So, every message you're

sending to your local AI running on your

computer on your desk stays on your

computer. It does not go to the

internet. Nobody can read your prompts

or your messages back and forth. If you

want to get freaky deicky and make your

own AI boyfriend or girlfriend, you can

do that and no one will read those

messages. Not that I would know anything

about that, but also zero latency. There

is no messages going to the internet.

It's all staying on your device. So, you

literally can unplug this from the

internet and the AI would still work.

You can be on an airplane vibe coding to

your heart's content and it doesn't

matter because there's no internet. It's

all local on your computer. And here's

the best part. Here's why I'm bought it.

And here's why I think everyone will be

using local AI in the next 12 months.

Because it's local. Because it's free,

it is extremely scalable, which means

you can have AI doing work for you 24/7,

365. I have right now, and I'm going to

demo this later in the video, so make

sure to stick around for this. I have

right now four local AI models, doing

things for me continuously, going on the

internet and scraping websites, writing

me content, writing me newsletters,

writing code for me, just doing things

at all times of the day. It's like I

have multiple employees working for me.

This is an advantage I have over all of

my competition because they are not

running local AI models. And if you do

the things I'm about to show you in this

video, you will have the same crazy

advantage over everyone else in the

marketplace as well. That's why it's

super critical stick here till the end.

Now, the one downside, what's the one

downside to all of this? Local models

aren't quite as smart as the frontier

models. I'd say they're about 6 months

behind at all times. So, so 6 months ago

was like Opus 45, Sonnet 45, around that

realm. The local models are about there.

Now, if you think back to 6 months ago

when Opus 45 came out, it absolutely

blew people's mind. So, we're still

we're at that point when it comes to

local models. So, it's still really

really strong. So, that brings us to our

next point, which is what computers do

you need? Do you need to run out and buy

$50,000 worth of Mac Studios and DJX

Sparks like me? Well, the answer to that

is no. You can literally run local

models on any computer you have. So, you

have an old crappy laptop in your closet

from like college or something, you can

take that out and run local models. If

you have the new $600 Mac Mini that

everyone was running out and buying a

few months ago, you can run local models

on that. That was a very good purchase.

Now, are the models you're running on

these cheaper, smaller machines going to

be Opus 45 level? Well, no. But there's

still use cases you can run. You can

still do things like memory management

for your open claw. Having a very small

local model, deciding which memories get

loaded into context for your OpenClaw or

your AI agent or whatever is still a

really powerful use case that you can

run on your $600 Mac Mini. And I'll go

through the exact models you should be

downloading for each device in a second.

But even if you have these old dusty

computers, you can still run local