Desktop app for downloading and running open language models locally via llama.cpp and MLX, with an agent and a command line.

Ollama AI features and pricing (October 2026)
Model runner for open language models on your own machine, with a local API and optional cloud models.
from $20 per month
Pricing details
Local use is free (MIT license). Cloud plans per the pricing page: Pro $20 per month, Max $100, Team $500 (early access), Enterprise by quote; usage is billed via credits per million tokens, as of September 2026.
What is Ollama?
Ollama is a model runner that downloads and runs open-weight language models on a laptop, workstation or server and exposes them through a local API, aimed at developers and IT teams that want AI without sending data to a cloud provider.
Ollama combines a model library, a command line, desktop apps and a local API. Teams pull a model by name, run it on their own hardware and connect applications, editors or coding agents through the API, which accepts OpenAI and Anthropic client libraries. The core is MIT licensed on GitHub and maintained by Ollama Inc. Ollama also sells cloud plans that run larger models on its own infrastructure, billed with monthly usage credits.
Ollama AI features and use cases
- Runs models on local hardwareOllama loads open models for chat, coding, vision and embeddings on the machine where it is installed. Prompts and documents stay on that machine, which lets teams test AI on internal material before any data processing agreement with a cloud vendor is in place.
- Serves an API for internal appsThe local API follows the OpenAI and Anthropic client formats, so existing scripts and tools can switch to a local model by changing the endpoint. Developers can build prototypes against the same interface they later use in production.
- Supports tool calling and structured outputModels can call functions defined by the developer and return structured JSON, according to the documentation. This makes Ollama usable as the model layer for agents that look up data or trigger actions in other systems.
What sets Ollama apart
- Open-source core under the MIT license with a large public model library that is pulled by name from the command line.
- Optional paid cloud plans run larger models on Ollama infrastructure, mainly in the United States according to the pricing page.
Where Ollama is strongest
The software runs on your own computer, so use does not depend on the country. According to the pricing page, cloud models run mainly in the United States.
Questions to ask before you buy Ollama
Local use keeps data on your hardware, but performance depends on the GPU or unified memory available, so size the machines for the models you plan to run. Check the license of each model separately, since Ollama's MIT license does not cover model weights. If you use the cloud plans, clarify data processing terms: the privacy policy states that data may be processed in the United States.
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Questions about Ollama
Is Ollama free for business use?
Running models locally is free, and the software is MIT licensed. Paid plans apply only to Ollama's cloud models, starting at $20 per month for Pro as of September 2026.
Does Ollama send my prompts to the cloud?
Not when you run local models; the privacy policy states that locally run Ollama keeps data on your device. Cloud models are processed on Ollama's infrastructure, and the pricing page says prompt and response data is not logged or used for training.
Can existing OpenAI-based code use Ollama?
Yes. The documentation states that the API works with OpenAI and Anthropic client libraries, so code can usually switch by changing the base URL and model name.
Ollama update historyno updates yet
No changes recorded for Ollama yet.
Changes the vendor made and confirmed user reports, each checked against the vendor's own pages. We review every tool monthly.
Alternatives to Ollama
Tools in the same category (Model runners) with the most overlapping markets.
Open-source C/C++ library that runs language and vision models in GGUF format on CPUs and many GPU types.
Mozilla.ai project that packs a language model and its runtime into a single executable file with no installation.
Python package from Apple machine learning research that runs, quantizes and fine-tunes language models on Apple silicon.



