GlossaryBusinessNew to AI

Proprietary

Owned and controlled by a specific company, not publicly available or shareable.

In plain terms

Proprietary means something is owned and controlled by a single company. This applies to AI models, data, or technology that a company keeps to itself.

For example, OpenAI's GPT-4 is a proprietary model. You can use it through their services, but you cannot get the model itself to run on your own computers or inspect its inner workings.

The expert version

Proprietary refers to AI models, datasets, or algorithms that are exclusively owned, controlled, and often kept secret by a specific entity. Access is typically granted through APIs or managed services, with the underlying technology and weights remaining inaccessible to the public or third parties.

This model of development and distribution contrasts with open-source approaches, where the code, weights, and sometimes training data are made publicly available. The tradeoff involves retaining competitive advantage and control over intellectual property versus the benefits of community collaboration and transparency.

Why it matters now

Proprietary models and technology are central to the business models of frontier AI labs. Companies like Google and OpenAI are developing and refining their own proprietary models, such as Gemma and GPT-3, to offer unique capabilities and services to users and developers.

Where it shows up 2 items, newest first
How each company uses it
Google Gemini
Google develops proprietary models like Gemma, which are designed to run on devices, offering unique capabilities.
OpenAI ChatGPT
OpenAI's proprietary GPT-3 model can be fine-tuned, enabling specific applications like custom video ad script generation.
Related terms

Open SourceAPIModel WeightsIntellectual PropertyCommercializationClosed Source

Often confused with
Open Source
Open source means the code and often model weights are publicly ava
Commercial
Commercial refers to something intended to make a profit, which prop
Closed Source
Closed source is a synonym for proprietary, emphasizing that the
Origin

The term 'proprietary' originates from the concept of property rights in law, referring to something owned and controlled exclusively by an individual or entity. In technology, it signifies that the underlying code, data, or algorithms are not publicly disclosed.

Try this about 5 minutes

Use ChatGPT or Google Gemini. You are interacting with a proprietary model. Notice that you cannot download the model or see its internal workings, only use it through the provided interface or API.

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The Playbook: reusable how-tos, prompts, configs and tips pulled out of the news.

Questions people ask

What is the difference between proprietary and open source AI?
Proprietary AI is owned and controlled by a company, with limited access. Open source AI is publicly available for use and modification.
Can I modify a proprietary AI model?
No, you cannot directly modify a proprietary AI model. Access is typically limited to using it through an API or a service.

First seen on Subvolts Jan 3, 2023. Updated Oct 15, 2026. Written by an AI model from the items above and reviewed against them weekly; report an error.