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All issuesVolume 325, Issue 5IT NewsCxO

IT Leaders See Big Business Potential In Small AI Models

CIO, Thursday, May 1st, 2025

Better equipped to deliver business-specific AI apps, small language models (SLMs) could soon outpace LLM use in the enterprise, thanks to their agile, cost-efficient, task-targeted nature.

Small language models (SLMs) are giving CIOs greater opportunities to develop specialized, business-specific AI applications that are less expensive to run than those reliant on general-purpose large language models (LLMs).

By 2027, smaller, context-specific models will outpace their counterparts with usage volume at least three times more than those of LLMs, according to a recent report from Gartner, which also claims LLM response accuracy declines for tasks requiring specific business context.

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