Running open-weight LLMs on your own GPUs

When health data cannot leave the building, the model has to come to the data. What self-hosting open-weight LLMs costs, and what it buys you.

Rows of server racks with blue and green status lights
Server racks in a data centre.

For most teams the first LLM in production is an API call. In health, that is often not allowed: patient records and internal procedures cannot be sent to a third party. The alternative is to run open-weight models on your own hardware.

What you take on

Self-hosting moves work onto your team that a provider used to do:

  • Capacity planning. GPU memory decides which models fit, and how many requests run at once.
  • Serving. An inference server with batching and streaming, monitored like any other service.
  • Upgrades. A new model version is a deployment, with its own evaluation run before it ships.

What you get back

  • Data that never leaves the building, which is often the only way the project gets approved.
  • Predictable cost: the GPUs cost the same whether usage doubles or not.
  • Control over latency. On the on-prem system I work on, answers got 40% faster over the project.

Choosing the model

Bigger is not automatically better on your own GPUs. I compare candidate models on the same reference set used for every release (see how I evaluate RAG), and pick the smallest one that passes the release gate.