Perplexity AI, the fast-growing search startup now valued at $20 billion, unveiled what it calls the first hybrid local-server inference orchestrator at Computex 2026 on Monday night, demonstrating software that autonomously decides — in real time and mid-task — which AI workloads stay on a user’s device and which get routed to frontier models in the cloud. CEO Aravind Srinivas demonstrated the system onstage alongside Intel CEO Lip-Bu Tan during Intel’s keynote address, using Perplexity’s “Personal Computer” agent to process confidential deal materials. In the demonstration, local models running on Intel Core Ultra Series 3 determined which information should remain on the device and which information could be sent to cloud-based models. Srinivas said the approach balances intelligence, accuracy, privacy, and cost. The key claim is not that a model can run locally — dozens of tools already do that. It is that Perplexity’s system makes the routing decision itself, task by task, without requiring the user to choose in advance. Sensitive data like financial records or health information stays on the local machine; the …