If you watch your PC grind to a halt generating 1 image over 5 minutes, it makes it less appealing to queue up 1,000 and cherry-pick the best; let alone making videos. It’s too easy right now to use a ruinous amount of compute power for something stupid like a fake dog video without even realising the cost

With local you’re limited in performance by the hardware you can buy, which is a huge up-front that most people would balk at. Hosted will give you as much performance as you could ever want billed by usage with several profit vectors built-in, but the customer sees smaller dollar number and better apparent performance and thinks they’re getting a deal. Car dealerships do the same thing with selling the monthly payment and not the actual sticker price.

The environmental difference then could be significant. Users taking the hosted route can choose to use much more resource-intensive models than a local PC could. They might see a $300 AI bill as a little pricey when it is usually $100, but figure that’s cheaper than buying a PC that could produce the same result, just at maybe half speed. This would result in a much higher energy cost from the hosted solution compared to the PC.

Why is that? The electricity burned is about the same, no? Of course, the impact is more distributed.

Forget about everything related to the prompt itself being processed for the moment. What other information do you think they are grabbing and processing along with the prompt? Maybe some data about you and your interactions for resale? Account info? Piecing together details about you perhaps, for some of that highly-targeted-advertising-data companies love to sell?

Even the comment you are replying to, IMO, is pretty conservative about the actual energy savings.

Electricity burned is the same. But so is the electricity burned while gaming, your system is limited by your GPU in both instances. If you have an RTX 5090 then you can throw almost 600 watts continuous at both which could use like 14kW/day, but most people will have more modest hardware, and therefore the energy usage of running a local model wouldn’t be all that much either - I don’t think many people limit their gaming because of how much the electricity would cost.

But when you have a datacenter with hundreds of servers capable of maxing out the residential house mains of half a dozen houses each (single NVIDIA NVL72 AI server has 72 GPUs and uses 120-150kW at full load) they can throw way, way more compute at you than you ever could manage locally.