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Equation 2 · Shipping an On-Device AI Feature That Actually Works in the Field

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ccloudc_{\mathrm{cloud}}

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ccloudc_{\mathrm{cloud}}

Symbol c_cloud

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subscript

subscript

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That example is useful precisely because it exposes what a “local-agent-with-fallback” architecture actually costs, which is easy to gloss over in a design review. Escalation is additive, not a substitution: a request that ultimately needs the cloud still pays for the local attempt first. Write clocalc_{\mathrm{local}} for the cost — in latency, energy, or both — of attempting the request locally, ccloudc_{\mathrm{cloud}} for the marginal cost of the network round trip once escalation is triggered, and p for the probability a request is judged solvable without escalating. If the local attempt always runs before the decision to escalate is made, the expected cost per request is

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