LocalAI vs LM Studio: Which Should You Choose in 2026?
Choosing between LocalAI and LM Studio comes down to understanding what each tool does best. This comparison breaks down the key differences so you can make an informed decision based on your specific needs, not marketing claims.
By Toolradar Team · Last updated February 28, 2026 · Methodology
Short on time? Here's the quick answer
We've tested both tools. Here's who should pick what:
LocalAI
Self-hosted OpenAI-compatible API
Best for you if:
- • OpenAI-compatible API you can self-host
- • Runs on CPU - no expensive GPU needed
LM Studio
Run local LLMs with a beautiful interface
Best for you if:
- • You want the higher-rated option (8.3/10 vs 7.8/10)
- • Beautiful desktop app for running local LLMs
- • Visual model browser and one-click downloads
| At a Glance |  LocalAI |  LM Studio |
|---|---|---|
Price | Free | Free |
Best For | API Tools | API Tools |
Rating | 78/100 | 83/100 |
| Feature | LocalAI | LM Studio |
|---|---|---|
| Pricing Model | Free | Free |
| Editorial Score | 78 | 83 |
| Community Rating | No ratings yet | No ratings yet |
| Total Reviews | 0 | 0 |
| Community Upvotes | 0 | 0 |
| Categories | API ToolsHosting & Deployment | API ToolsAI Research |
How LocalAI and LM Studio Compare
LocalAI
Self-hosted OpenAI-compatible API
Free · 78/100 score
LM Studio
Run local LLMs with a beautiful interface
Free · 83/100 score
Who Should Use What?
On a budget?
Both are free. Compare plans on their websites.
Go with: LocalAI
Want the highest-rated option?
LocalAI: 78/100. LM Studio: 83/100.
Go with: LM Studio
Value user reviews?
Neither has user reviews yet.
Go with: LM Studio
3 Questions to Help You Decide
What's your budget?
Both are free. Pricing won't help you decide here.
What's your use case?
Both are api tools tools. Compare their specific features to decide.
How important are ratings?
LM Studio scores higher: 83/100 vs 78/100.
Key Takeaways
LM Studio
- Higher score: 83/100 vs 78
- Completely free
- Our pick for this comparison
LocalAI
The Bottom Line
LM Studio (83/100) is our pick.
Frequently Asked Questions
Is LocalAI or LM Studio better?
LM Studio scores 83/100 in our evaluation. Both are free.
What are LocalAI and LM Studio used for?
LocalAI: Self-hosted OpenAI-compatible API. LM Studio: Run local LLMs with a beautiful interface.
What does LocalAI cost vs LM Studio?
LocalAI is completely free. LM Studio is completely free. Visit their websites for detailed pricing.