Last Updated on March 1, 2026
Looking for an alternative to Microsoft Copilot in Word without recurring inference costs? Consider LiteLLM as a viable option. LiteLLM functions as an LLM Gateway, offering access to over 100 LLM provider integrations while providing essential features such as logging and usage tracking, all formatted in the OpenAI standard. This allows you to leverage an extensive array of providers and models seamlessly. LiteLLM is designed for self-hosting on your local machine, making it a convenient solution that stays within your infrastructure. Moreover, LiteLLM offers a unified interface supporting functionalities like completion, embedding, and image generation, enhancing its versatility and utility across different applications.
As a core component of a self-hosted AI stack, LiteLLM serves as a powerful inference engine for hosting local LLMs on your private server. By pointing LocPilot in Word to LiteLLM’s local API, you can transform standard office computers into secure drafting engines powered by AI. This configuration ensures that while your team enjoys a seamless “Copilot-like” experience, you maintain total oversight of data confidentiality, network security, and long-term costs.
📖 Part of the Local AI Infrastructure Guide This post is a deep-dive cluster page within our Local AI Infrastructure Guide—your definitive roadmap to building a secure alternative to Copilot in Word with greater flexibility and a fixed-cost setup.
🖥️ Infrastructure in Action: Centralized Inference for Microsoft Word
Watch the demo below to see how LiteLLM can serve as the central engine, providing real-time AI inferences to Microsoft Word through the LocPilot as a local Word add-in.
The following video demonstrates core features using GPTLocalhost, our solution for individual users. LocPilot is the professional intranet edition of this technology, architected specifically for multi-user deployment in secure, air-gapped environments.
The primary architectural advantage of LocPilot is its server-client design: by hosting LiteLLM on a single high-performance server within your intranet, you provide powerful AI capabilities to the entire office. This eliminates the need for expensive GPUs on every employee’s desk, allowing ordinary office computers to run advanced LLMs with ease.
For more creative uses of local LLMs in Microsoft Word on your intranet, explore additional demos available on our channel at @LocPilot.
The Intranet Advantage: Safer, Better, and Cheaper
The future of professional writing isn’t about chasing the biggest cloud model. It’s about building secure, flexible AI inside your own network. By running AI workloads on your intranet, you equip your team with powerful large language models while keeping sensitive data fully under your control. Security isn’t an afterthought—it’s built in.
An internal AI stack also gives you flexibility. When a new model emerges, you’re not waiting on a vendor’s roadmap. You can deploy it directly within your intranet and let teams choose the models that best fit their workflows—whether that’s for technical documentation, strategic planning, or creative writing.
Ready to move beyond recurring cloud fees and into a secure AI infrastructure? Download LocPilot and discover how a self-hosted AI stack can elevate productivity—while reducing monthly subscription costs to zero.
You can deploy our free tier today to conduct a pilot test for your team on your intranet—no credit card required. Contact info@locpilot.com for a trial license to experience the full power of a self-hosted AI stack integrated seamlessly with Microsoft Word.