Most Enterprise AI Requires the Cloud. Yukti's Doesn't Have To.
SAP and Microsoft route every AI request through vendor cloud infrastructure, and none of the vendors compared below publish a local or air-gapped alternative. Yukti's AI layer is provider-agnostic. Point it at OpenAI, Anthropic, Google, or a model running locally through Ollama, and the platform works the same way.
This page describes an architectural capability. It is not a compliance certification.
Who This Matters For
Air-gapped AI is not a general-purpose selling point. It matters to a specific set of buyers with real, non-negotiable constraints.
Defense, ITAR, and CMMC Contractors
Contractors handling Controlled Unclassified Information or ITAR-regulated data need AI tools that never phone home. Purpose-built air-gapped AI products for exactly this buyer already exist, which confirms it is a live procurement category, not a hypothetical one.
Source: vidizmo.aiRegulated Financial Services
Banks and financial institutions with strict data residency and vendor-risk requirements often cannot send customer data to a third-party AI API, regardless of that vendor's own compliance posture.
Healthcare Data Residency
Health systems weighing AI adoption against HIPAA and state privacy law need to know exactly where patient data travels. An architecture where AI inference never leaves the building removes that question entirely.
Critical Infrastructure Operators
Utilities, industrial, and critical infrastructure operators frequently run isolated networks by policy. AI tools that require live cloud connectivity are disqualified before evaluation even starts.
Why the Timeline Matters
On-device AI bypasses FedRAMP review entirely, since no federal data leaves the device. DoD contractors using on-device AI have shipped features 9 to 14 months faster than those pursuing FedRAMP-authorized cloud alternatives, where authorization itself typically takes 18 to 36 months. Source: ibl.ai
For IL4 and IL5 DoD workloads, which require FedRAMP High, self-hosting on GovCloud is described as the only compliant path for most DoD use cases in 2026. Source: precisionfederal.com
How It Works
There's no special "air-gapped edition." It's the same platform, configured differently.
Provider-Agnostic by Design
Yukti's AI layer isn't wired to one vendor's cloud. Point it at OpenAI, Anthropic, Google, or a model running locally through Ollama, and switch between them without changing your workflows.
Self-Hosted by Default
Community edition is free, LGPL-3.0 licensed, with unlimited users and full source code access, and runs entirely on your own infrastructure. Enterprise, including the 14-agent AI layer, is available either on our managed cloud or fully self-hosted on your own infrastructure, open to any customer who wants it. Self-hosted Enterprise is priced per deployment rather than the flat managed-cloud rate.
Zero External Network Dependency
In that self-hosted configuration, point the AI layer at a local model through Ollama instead of a cloud API, and the full stack, ERP plus AI, runs without a single external network call. That's what makes a genuinely air-gapped deployment possible.
The Same Agents, Two Deployment Paths
Lead Scoring, Demand Forecasting, Invoice Matching, and the rest of the 14 named AI agents run on the same codebase whether you're on the standard managed-cloud Enterprise plan or a self-hosted Enterprise deployment. What changes is where the models run, not which agents you get.
The Competitive Reality
How AI actually runs under the hood varies a lot more across ERP vendors than most comparison pages admit.
SAP
Cloud-dependentJoule, SAP's AI assistant, depends on SAP AI Core and Cloud Identity Services. Classic on-premise ECC systems have no native Joule access at all, and even the 2026 on-premise extension path routes back through SAP Cloud Connector to SAP's cloud.
Source: SAP CommunityMicrosoft Dynamics 365
Cloud-dependentCopilot in Dynamics 365 requires a live Azure OpenAI Service endpoint. Microsoft's own documentation states that Copilot cannot work without access to Azure services. Private Endpoints keep traffic off the public internet, but the connection to Azure still has to be live.
Source: Microsoft LearnOdoo
Cloud-dependentOdoo's own AI features run on Odoo's infrastructure, with no first-party option to run them locally or offline. Some third-party developers have built unofficial connectors between Odoo and local AI models, but Odoo S.A. does not build, support, or endorse them.
Yukti vs. Odoo comparisonERPNext
No native AIERPNext has no first-party AI features at all. Local-LLM integration exists only as unofficial, community-built projects, such as a third-party Ollama copilot posted on the Frappe forum, not a vendor-supported capability.
Source: Frappe ForumYukti
Provider-agnostic, including local modelsYukti's AI layer works with OpenAI, Anthropic, Google, or local models through Ollama, on both the managed-cloud and self-hosted Enterprise paths. That architecture, not a hosting mandate, is what makes an air-gapped configuration possible.
NetSuite, Zoho, Infor, Epicor, Acumatica, and Sage have not published architecture details we could independently verify for this page. Based on what is publicly documented, no vendor in this category currently offers a local or air-gapped AI deployment option.
What This Means Today
Read this table plainly. The rows marked Supported describe what the architecture can do right now. The rows below them are certifications we do not have and are not claiming. We would rather be specific about the difference than let anyone assume otherwise.
| Capability or Certification | Status | Details |
|---|---|---|
| Local AI inference (self-hosted + Ollama) | Supported | Route AI requests to a local model instead of a cloud provider. This is a configuration option available today, not a roadmap item. |
| Zero external network dependency | Supported | When self-hosted with local models, the full stack, ERP and AI, can run without outbound calls to any external API. |
| FedRAMP authorization | Not yet | Yukti does not hold FedRAMP authorization. Architectural capability for offline operation is not the same as a certified federal cloud deployment program. |
| CMMC certification | Not yet | No CMMC certification has been obtained or claimed. |
| ITAR compliance certification | Not yet | No ITAR compliance certification has been obtained or claimed. |
| SOC 2 | In progress | Audit underway for managed cloud deployments, consistent with the status on our Security page. |
| HIPAA certification | Planned | HIPAA-focused tooling exists today. Formal certification is planned, not completed. |
| ISO certification | In progress | ISO 27001 certification work is in progress, consistent with the status on our Security page. |
Talk to Us About Your Deployment
Air-gapped requirements usually come with specifics: network policy, hardware constraints, model choice. Tell us yours and we will walk through how a self-hosted, local-model deployment would actually look for your environment.