> Are local models anywhere close to gaining enough capability and traction to do it in-house?
Cloud providers will always be able to offer more performance and more powerful options.
Cloud providers will always be able to offer more performance and more powerful options.
Also, presumably at some point far in the future we'll reach a technological asymptote and factors like latency may start to play a bigger role, at least for some applications.
I grant that training data is crucial distinguishing factor that may never become competitive in-house.