One reason to bother with private AI: cloud AI ToS for consumers may have legal clauses about usage of prompt and context data, e.g. data that is not already on

One reason to bother with private AI: cloud AI ToS for consumers may have legal clauses about usage of prompt and context data, e.g. data that is not already on the Internet. Enterprise customers can exclude their data from future training. https://stratechery.com/2025/deep-research-and-knowledge-value/ https://stratechery.com/2025/deep-research-and-knowledge-val... > Unless, of course, the information that matters is not on the Internet. This is why I am not sharing the Deep Research report that provoked this insight: I happen to know some things about the industry in question — which is not related to tech, to be clear — because I have a friend who works in it, and it is suddenly clear to me how much future economic value is wrapped up in information not being public. In this case the entity in question is privately held, so there aren’t stock market filings, public reports, barely even a webpage! And so AI is blind. (edited for clarity)