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Serious question, why does everyone think smaller AI models are always worse?

I tried running a 7B parameter model on my laptop last week to summarize client reports, and it actually gave me cleaner output than the big cloud ones I was paying $20 a month for. Maybe it's just me, but the smaller model didn't hallucinate half as much on my specific HVAC repair logs. Did anyone else find a narrow use case where a little model beat the giant ones?
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burns.ruby
burns.ruby23d ago
My coworker Mike tried using one of those big expensive models to help his dad's auto shop write service descriptions. The thing kept calling a simple oil change a "comprehensive lubrication system overhaul" and adding $50 suggestions for "premium synthetic integration." He switched to a 7B model running locally and it just says "oil change, filter replacement, fluid check" exactly like his dad's been writing them for 30 years. Now his dad actually uses it because it doesn't make them sound like a dealership trying to upsell brake fluid flushes nobody needs. The little model just knows its lane and stays in it.
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martin.vera
My buddy runs a small landscaping business and tried a tiny 3B model to draft quotes from his old job notes. The big models kept adding stuff like "premium botanical treatments" to his lawn mowing estimates, but the little one just stuck to the facts. He's still using it six months later because it doesn't try to upsell his own customers for him.
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