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In AI, the big frontier models are likely always going to be more capable than smaller local models.
It’s a simple matter of the amount of compute available: Big data centers will always outgun local machines, even if you have Apple’s beefiest Mac Studio sitting on your desk 😉.
It’s why Apple is taking a hybrid approach to AI.
On-device, your machine runs smaller local models, which process simpler queries. If your task requires more brainpower, it gets sent to Apple’s Private Cloud Compute, which runs much bigger models.
It makes a ton of sense. Local models are getting more capable by the day, and are better suited to running simple queries or tasks. It gets expensive fast sending simple stuff to data centers and burning unnecessary tokens. Plus, there are privacy issues: Do you want sensitive info sitting on some AI company’s servers?
It’s why companies like Perplexity (which I’m a fan of — Perplexity AI is my go-to for lots of things) are taking a similar hybrid approach. Perplexity’s new Mac app sounds really interesting and capable, and it mimics Apple's approach — but with a twist.
Also in today’s newsletter:
Apple silicon gets all the attention in the new Mac minis and Mac Studios, but under the hood, there are several more great upgrades.
Looks like Apple learned an important lesson from the MagSafe-less iPhone 16e, and isn’t making the same mistake with the folding iPhone — thank goodness! Seriously, no MagSafe might have been a deal-breaker.
🔥 DEAL OF THE DAY: This fast-charging Qi2.2 car-charging mount from a reliable brand is already more affordable than some rival devices, and 30% off makes it an even better deal. #affiliate
I’ve never been a privacy zealot, but after reading about growing surveillance infrastructure, I’m now much more ambivalent about digital IDs. I do trust Apple, and I used to think convenience trumped privacy, but now I’m not so sure. Oklahoma’s the latest state to hop on the bandwagon.
I know from personal experience that this improbable trick actually works.
— Leander Kahney, EIC.
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One more thing ...
On our latest iMac, I was adamant that we get rid of the fan, because it is much more pleasant to work on a computer that doesn’t drone all the time. That was not just “Steve’s decision” to pull out the fan; it required an enormous engineering effort to figure out how to manage power better and do a better job of thermal conduction through the machine. That is the furthest thing from veneer. It was at the core of the product the day we started.
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