Frontier results, on device
summary
Comparative evals use Phoenix and production traces from Mima to show local models replacing frontier calls: testing Gemma, Qwen, Llama 3.2 against Claude Sonnet finds Llama 3.2 (3B) with a few‑shot prompt plus post‑processing hits 100% JSON validity, 100% structural validity and ~93% factual consistency, P50 ≈1s and P95 under 3.5s, while saving roughly $1/day in inference. The process: prototype on a foundation model, build a golden dataset, test small→large, iterate prompts and harness code.
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chapters (15)
- 0:00The hidden costs of AI
- 1:10Analyzing inference expenses
- 2:51Introduction to SLMs
- 4:33Evaluating local model performance
- 6:52Local AI in practice
- 8:47Framework for right-sizing AI
- 10:47Setting up golden datasets
- 12:58Model selection process
- 15:55Finding the 'Sage' model
- 19:22Optimizing with prompt engineering
- 21:12Iterative prompt testing
- 23:04Closing the performance gap
- 25:40Post-processing for reliability
- 27:45Regression and maintenance
- 28:36Next steps for local adoption
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