A Guide for Large Language Model Make-or-Buy Strategies: Business and Technical Insights

Firms that employ large language models (LLMs) can create significant value and achieve sustainable competitive advantage. However, the decision of whether to make-or-buy LLMs is a complex one and should be informed by consideration of the following aspects:

  • Strategic value
  • Customization
  • Intellectual property
  • Security
  • Costs
  • Talent
  • Legal expertise
  • Data
  • Trustworthiness

It is also necessary to thoroughly evaluate available open-source and closed-source LLM options, and to understand the advantages and disadvantages of fine-tuning existing models versus pre-training models from scratch.

Authors of the Whitepaper:

  • Dr. Paul Yu-Chun Chang, AI Expert Foundation Models-Large Language Models
  • Bernhard Pflugfelder, Head of Use Cases and Applications