[xnx]

Did Apple indicate they are using local models?

[macintux]

That was their original design with Apple Intelligence: do as much locally as possible, only invoke the cloud in a very controlled way when necessary.

[dist-epoch]

> Apple Intelligence is designed to protect your privacy at every step. It’s integrated into the core of your iPhone, iPad, and Mac through on-device processing.

https://www.apple.com/apple-intelligence/