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How to run local LLMs with Ollama

Updated 7/20/2026

Ollama is the simplest way to run AI models (LLMs) on your server. The data stays with you, and the cost is fixed, not per token.

1. Install

curl -fsSL https://ollama.com/install.sh | sh

2. Download and run a model

ollama run llama3.2

The first run downloads the model; then you can chat directly in the terminal.

3. Use it through the API

Ollama exposes a local API on port 11434:

curl http://localhost:11434/api/generate -d '{
  "model": "llama3.2",
  "prompt": "Hello"
}'

4. Choose the right model

Small models (1-3 billion parameters) run on CPU; large ones need a GPU. See how to choose a model for your hardware.

Do you need a GPU?

For large models and fast responses, a server with a GPU makes the difference. See the GPU plans and when you need a GPU. Add a chat interface with Open WebUI.

Put this guide into practice on your own VPS

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