llm models for Edge & OSS teams

Phi-3 Medium vs Llama 3 (70B): which is better for Edge & OSS teams?

TL;DR for Edge & OSS teams

Phi-3 Medium excels for lightweight, cost-efficient deployments, while Llama 3 70B delivers maximum quality if you can host a large model.

Key Differences

Feature Phi-3 Medium Llama 3 (70B)
Model size (14B vs 70B) Phi-3 Medium approach Llama 3 (70B) approach
Context window (128k vs 8k) Phi-3 Medium approach Llama 3 (70B) approach
Compute requirements Phi-3 Medium approach Llama 3 (70B) approach
License & distribution Phi-3 Medium approach Llama 3 (70B) approach
Reasoning quality Phi-3 Medium approach Llama 3 (70B) approach
Hosting flexibility Phi-3 Medium approach Llama 3 (70B) approach

Pricing Snapshot

Phi-3 Medium: open weights; Azure managed inference is billed per million tokens and remains well below GPT-4 pricing (2025-10-13); Llama 3 70B: open weights; expect ~$3-$5/hr for a 2x L40S-class setup (2025-10-13)

Last reviewed: 2025-10-13

Phi-3 Medium

Choose Phi-3 Medium if:

  • You need low-cost edge deployment
  • You run on limited GPU memory
  • You want 128k context for documents

Pros

  • + Open weights with commercial license
  • + 128k context window
  • + Optimized for edge GPUs and ONNX
  • + Strong code and reasoning for a 14B model
  • + Low per-token cost on Azure AI

Cons

  • - No multimodal support
  • - Smaller community than Llama
  • - Requires quantization for consumer GPUs
  • - Lower peak reasoning vs GPT-4 class

Llama 3 (70B)

Choose Llama 3 (70B) if:

  • You chase highest accuracy
  • You can host 70B weights
  • You want the largest OSS community

Pros

  • + Open weights & permissive license
  • + Strong reasoning & coding
  • + Fine-tuning & quantization support
  • + Active open-source community
  • + Good English performance

Cons

  • - Shorter context (~8k)
  • - No multimodal capability
  • - Requires significant compute to host
  • - Limited non-English performance

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