AvenuesAI begins work on on-premise small language models amid growing data privacy demands

AvenuesAI, on Monday, announced it had started working on a fully on-premise AI model through its subsidiary PhroneticAI, for companies that want to keep data within their infrastructure, according to ANI.

Making a strategic foray into the turnkey AI technology solutions space, AvenuesAI, the AI fintech company, is targeting an emerging market for enterprise-grade, fully private generative AI infrastructure with small language models (SLMs), the ANI report said.

As per the report, the company, through its subsidiary PhroneticAI, is developing an AI (artificial intelligence) product, an on-premise SLM platform built and deployed entirely within the client’s premises.

According to ANI, AvenuesAI is delivering a fully customised, centralised platform that spans the entire lifecycle of a Small Language Model from pre-training on a client’s proprietary data corpus to on-premise deployment complete with inference APIs, monitoring dashboards, and a continuous retraining loop.

“There is growing, serious concern over data security and privacy not just for the general public, but for corporates who are already processing sensitive data through open-source AI tools,” ANI quoted Vishal Mehta, Chairman and Managing Director, AvenuesAI Limited, saying so.

“Once the private, on-premise SLM platform is built and deployed, we are completely out of the system, and clients have the option to operate independently. Large corporates and organisations will always be wary of allowing major global AI companies’ access to their data, irrespective of any ethical, moral, or legal guarantees those companies may offer,” Mehta said, as per ANI.

The ANI report highlighted a mid-2025 event when Microsoft suspended cloud and email services for India’s Nayara Energy, citing compliance with European Union sanctions.

With Nayara challenging the abrupt shutdown in the Delhi High Court, services were restored within days, but the episode left a key takeaway that even paid, contracted services from global technology giants can be switched off for reasons entirely outside a client’s control, the ANI report added.

Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.

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