Last Updated on February 26, 2026
Looking for a Microsoft Copilot alternative without recurring inference costs? Consider using local LLMs directly within Microsoft Word. For example, Mehul’s post highlights that Phi-4 is currently considered the leading choice among small-sized LLMs due to its significant improvements over previous versions. Therefore, it’s worth experimenting with integrating Phi-4 into Microsoft Word to explore its capabilities. This direction is at the core of our Local LLM Benchmarks for Microsoft Word, where we explore the move toward 100% data security on your intranet.
Here’s a quick demo. The demo is powered by GPTLocalhost, which offers the same core features for individual use. LocPilot in Word is the Intranet edition of GPTLocalhost designed for enterprise users and team collaboration.
For more creative uses of local and private LLMs in Microsoft Word, explore additional demos available on our channel at @LocPilot.
The Local Advantage
Running your LLM models locally via LocPilot ensures:
- Air-Gapped Security: Operate entirely within your intranet — no external connections.
- Cost Savings: Eliminate subscription fees for the entire team — no ongoing costs.
- Model Flexibility: Easily host and switch models to suit your use cases — no vendor lock-in.