Blog · 15 October 2026 · 6 min read
Does a local AI have monthly costs? Licences and real annual cost
With ChatGPT or Claude you pay every month, for every person. With a local AI you pay at the start. But afterwards? Anyone weighing up the purchase wants to know whether, once installation is finished, there are hidden licences, subscriptions or pay-as-you-go costs left.
In short: a local AI has no mandatory monthly costs. The software and models are free and open source, and locally you pay neither per request nor per number of users. After installation, what remains is electricity and, as one-off purchases, a backup disk and an uninterruptible power supply. Everything else is optional: the supplier's support, the external services you choose to connect and, if you wish, a cloud subscription for non-confidential work.
Do the programs and models have a licence to pay for?
No. The components of a local AI for business are free, including for commercial use:
- Ollama, the engine that runs the models, is open source under the MIT licence.
- Open WebUI, the chat interface, is free. There is just one condition: above 50 users in a month its branding cannot be removed without a paid licence. For most companies this changes nothing.
- The models are chosen from those with a licence that allows business use at no cost. Google's Gemma 4, for example, uses the Apache 2.0 licence.
- Disk encryption and backup are features already built into the operating system.
Each model does have its own licence, however, and they are not all the same: some place limits on commercial use or on European companies. Choosing them well is part of the installation work. We cover this in the guide to models for Italian.
Do you pay as you go, per request or per user?
No. Locally there are no tokens to pay for, no message caps and no per-person prices. Whether the AI answers ten questions a day or ten thousand, the cost is the same.
The real limits are physical, not financial:
- The machine's memory determines which models can run and how many people can use them at once without slowdowns.
- Disk space fills up with models, documents and backup copies.
Please note: some programs designed for local use now also offer "cloud" models, which run on the vendor's servers and are tied to an account with its own usage plans. They are optional and can be switched off: if the aim is to keep data on site and avoid recurring fees, they should be excluded from the configuration.
What costs remain after installation?
Few, and almost all of them one-off. Here is the full picture, divided between what you really need and what you choose:
| Item | When you pay | Is it really needed? |
|---|---|---|
| Electricity | Always | Yes. A Mac uses little power when idle, a GPU server noticeably more |
| External drive for the backup | Once | Yes |
| Uninterruptible power supply | Once | Recommended: it protects against power surges and outages |
| Second drive to keep off site | Once | Optional: protection against theft and fire |
| Supplier support | Annual fee | Optional |
| Automated messaging through an authorised provider | Monthly fee | Optional |
| Cloud AI service for non-confidential work | Subscription or pay-as-you-go | Optional |
| Access to the management system's data | The vendor of the management system decides | Only if you want the direct connection |
The private network for access from outside the office, the document archive and the health checks are built with tools that, for small-scale business use, involve no fees.
The initial cost of hardware, installation and training is another matter: you will find it, item by item, in the guide on how much it costs to install a local AI in your company.
Do the connections to email, cloud and chat generate costs?
As a rule no, beyond what the company already pays. Connecting the email and cloud storage you use adds no fees: the existing subscription is used.
There are two exceptions:
- Messaging. Chats exported by hand cost nothing. To have new messages arrive by themselves you have to go through a provider authorised by the platform, which charges a monthly fee.
- The management system. Working on exported files is free. If you want a direct connection, however, it is the management system's vendor that decides whether, and at what price, to open up access to the data.
Is support a compulsory cost?
No. Once installation is finished the company is free and independent: the system is its own and keeps working without paying anyone.
Support is for those who prefer someone to keep looking after them over time: updating the programs, assessing new models, periodic checks, stepping in if something gets stuck. A company with an in-house technician can do it itself, while another prefers an annual fee and no worries. In both cases the system is the same, as we explain in what happens if you change supplier.
What is not free, even if it does not appear on an invoice?
Three things an honest comparison has to consider:
- Time. Without support, someone in the company has to look after updates and checks. It is a few hours a year, but they need to be budgeted for.
- Hardware ageing. Models improve quickly and demand more memory. A machine sized to the minimum today could feel cramped in a few years' time.
- The result on certain jobs. For highly polished presentations or marketing images, the biggest cloud services remain ahead. Many companies keep a subscription for these jobs, which do not involve confidential data.
To decide between the two routes there is the comparison AI on-premise or cloud.
How we present costs in our quotes
We always separate three groups: what is paid for once, what is recurring and optional, and what depends on third parties. The company buys the hardware and it remains its own. Support is a separate line, which can be removed.
We install on site, throughout Italy. You will find our method on the Local AI for businesses page. For an estimate based on your case, write to us and tell us how many people will use the AI and what for.
About the author: Dabryx
Dabryx is an Italian software house that installs local AI in companies, on site across Italy, on servers or Macs. The basic installation starts at €2,900, hardware not included, and consulting at €100 per hour. The office is in Rocca Priora, near Rome.
We also install local AI in Rome, Milan, Parma and Reggio Emilia, and we develop custom management systems and custom software.
Frequently asked questions
Does a local AI have a monthly subscription?
No. Programs and models are free and open source, and locally you pay neither per request nor per user. Any recurring costs there may be, such as the supplier's support, are optional.
Are Ollama and Open WebUI free for businesses?
Yes. Ollama is under the MIT licence. Open WebUI is free for commercial use too: a paid licence is needed only to remove its branding above 50 users in a month.
How much electricity does a local AI use?
It depends on the machine and how hard it works. A Mac uses little power when idle, while a server with one or more graphics cards uses noticeably more. It is in any case the only recurring cost that cannot be avoided.
Do I have to pay for support to keep using the AI?
No. After installation the system belongs to the company and works independently. Support is only for those who want someone to keep taking care of updates and checks.
Want an estimate for your company?
Tell us how many people will use the AI and what for: we'll tell you which configuration you need.
Response times
Within 2 hours on business days (9:00–18:00) for clients with a support contract.
AI consulting
Basic installation from €2,900, consultancy from €100 per hour, on your company's server or Mac.
Where we work
Throughout Italy: we come on site to the client's premises and also support you remotely.