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Private AI basics

Private AI server for a small office: what it is and what it costs.

Short answer

A private AI server is a computer you control, in your office or your own cloud account, that runs open-weight AI models, so prompts and files aren’t processed by an AI company. For a small office that usually means a Mac mini or a GPU workstation running a model server such as Ollama, with a chat app on top.

What can a private AI server do for an office?

The same everyday work people use ChatGPT for, on files you’d rather not upload:

First drafts

Letters, client replies and routine documents written from your own templates, for a person to review.

Summaries

Long contracts, transcripts, policies and PDFs condensed, with page references to check.

Ask your files

Plain-English questions answered from your shared drive, with the source documents cited.

Inbox help

Email sorted by urgency, with reply drafts waiting for approval.

What it won’t match is the newest cloud models on hard, open-ended reasoning or broad world knowledge. Open-weight models that fit office hardware are strong at drafting, summarizing and searching; they are weaker at the hardest analysis.

Which hardware: Mac mini, GPU tower or cloud VM?

Memory is the main constraint, because the whole model has to fit in it. Apple silicon shares one pool of memory between CPU and GPU, which is why a small Mac mini can hold models that would need a large graphics card on a PC.

OptionMemory for modelsUpfront costNoise and spaceStill a cloud?
Mac mini with M616GB standard, configurable to 24GB or 32GB (153GB/s on 16GB, 170GB/s on 24GB and 32GB)From $899; 24GB from $1,099; 32GB from $1,499 (Apple list)Fits on a shelf; Apple describes the line as quiet and efficientNo
Mac mini with M5 Pro24GB standard, configurable to 48GB or 64GB (307GB/s bandwidth)From $1,699; 64GB from $2,699 (Apple list)Same footprintNo
PC or tower with a GPUSet by the graphics card’s own memory (VRAM)Depends on the GPULarger, louder and more power-hungry under loadNo
GPU server rented in your cloud accountWhatever you rentNone; billed by the hour or monthNone on siteYes, your own account at a cloud provider

Mac mini specs and starting prices from Apple’s August 25, 2026 announcement. Configured prices for higher memory are higher than the starting price.

How much memory do the models need?

Download sizes for the default 4-bit builds in the Ollama library. Leave room on top for macOS, other apps and the model’s working memory, which grows with the length of the documents you feed it.

Model (Ollama tag)Download sizeComfortable on
llama3.1:8b4.9GB16GB and up
qwen3:8b5.2GB16GB and up
gemma3:12b8.2GB24GB and up
qwen3:14b9.3GB24GB and up
gpt-oss:20b14GB32GB
gemma3:27b17GB32GB, tight; 48GB or more is easier
qwen3:32b20GB48GB or more
llama3.1:70b43GB64GB
gpt-oss:120b65GBDoesn’t fit any Mac mini

Sizes read from ollama.com/library on November 13, 2026. “Comfortable on” is our sizing guidance, not a vendor figure.

What does a private AI server cost per month?

Three ways to pay, compared with per-seat cloud AI:

ApproachWhat you payWhat’s includedWho maintains it
Buy and run it yourselfHardware up front, plus staff or IT timeWhatever you set upYou or your IT provider
Managed box on your shelf (AdminOnsite)$249, $399 or $699 a month plus one-time setup ($299 to $499)Mac mini, setup on your files, updates, monitoring and support; yours after 24 monthsAdminOnsite, remotely, with logged access
Per-seat cloud AI (for comparison)About $20–25 per user per month for standard business seatsThe vendor’s models and apps; your data on their serversThe vendor

US list prices from each vendor’s own page, checked November 13, 2026. Prices change; check the vendor before you buy.

Who keeps it running?

A private server is a computer, so it needs the care any office computer needs, plus a few AI-specific jobs:

  • Operating system and security updatesPatched on a schedule, not when someone remembers.
  • Model updatesNew open-weight models are tested before they replace the ones your templates were tuned on.
  • BackupsSettings, templates and indexes backed up so a failed drive isn’t a lost month.
  • PowerA small battery backup rides out short outages; the box catches up when power returns.
  • MonitoringSomeone notices when it’s offline or out of disk before staff do.
  • Remote accessUsed only for maintenance, and logged.

Security basics

  • Don’t expose the model portOllama listens on 127.0.0.1, port 11434, by default. Keep it that way, or put it behind authentication on your office network only.
  • Encrypt the diskTurn on FileVault on a Mac so a stolen box doesn’t mean stolen files.
  • Use folder permissionsThe assistant should only see the folders each team is allowed to see.
  • Log accessKeep a record of who connected remotely and when.
  • Review outputsNothing goes to a client without a person reading it.

How to set one up

  1. Size the hardware to the modelsPick memory first, from the table above, based on the models and document lengths you need.
  2. Install a model server and a chat appOllama, LM Studio or Apple’s MLX run the models; Open WebUI or AnythingLLM give staff a chat window.
  3. Connect documents with permissionsPoint it at the shared folders it should search, team by team.
  4. Lock down network accessKeep the model server off the internet; use a VPN or managed remote access for support.
  5. Set an update and backup routinePatches, model updates and backups on a calendar.
  6. Agree the house rulesDrafts are reviewed before they go out; staff know what it’s for and what it isn’t.

When not to self-host

  • You need the strongest available models for hard research or reasoning.
  • Only one or two people will use it and per-seat cloud AI costs less.
  • Nothing you’d put into it is confidential, and your clients don’t ask where data goes.
  • Nobody, in-house or outside, will keep it patched and backed up.

Questions

Can I run ChatGPT on my own server?

No. ChatGPT is OpenAI’s hosted service. To keep prompts on your own hardware you run open-weight models, which several AI companies publish for anyone to download and run.

How much does a private AI server cost?

Hardware starts at $899 for a Mac mini with M6 at Apple’s list price, plus the time to set it up and maintain it. A managed AdminOnsite box costs $249 to $699 a month plus setup, including the hardware, setup, updates and support.

Is a Mac mini enough for an office?

For drafting, summaries, inbox triage and file search, yes, if it has enough memory for the models you need. A 24GB or 32GB Mac mini fits 8- to 14-billion-parameter models with room to work; 64GB fits 70-billion-parameter models at 4-bit.

Is a private AI server as good as ChatGPT?

For everyday office work it is very capable. It is not as strong as the newest cloud models at hard, open-ended reasoning, which is why drafts are reviewed by a person.

Does a private AI server need the internet?

The models run without it. Email, cloud file services and remote support need a connection, and work queues until it’s back.

Now booking founding offices

See it on your own files

Tell us about your office. We’ll set up a demo with documents like yours, so you can judge the drafts and summaries yourself.

  • Your kind of documentsWe demo on sample files from your field: letters, workpapers or policies, not a canned script.
  • Straight answers on priceFlat monthly plans for the whole office. No seats, no credits.
  • Honest about fitIf cloud AI is the better choice for you, we’ll say so.

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