Llama is open source, but with restrictions that limit some uses

Meta's Llama is released under an open source license, meaning you can see the code and modify it. However, the license includes a restriction that blocks use by companies with more than 700 million monthly active users. This means large tech companies cannot legally use Llama without permission from Meta, even though the code is publicly available. For most people and smaller organizations, Llama functions as open source software — you can read it, study it, and build with it without paying Meta or asking permission.

The distinction matters because "open source" technically means the source code is public, but the specific license determines what you can actually do with it. Llama's license is more restrictive than some other open source AI models, but less restrictive than proprietary software like OpenAI's GPT-4, which you cannot see or modify at all.

Key Takeaways

  • Llama's source code is publicly available and you can read, modify, and use it without paying Meta or requesting permission, as long as your organization has fewer than 700 million monthly active users.
  • The 700 million user restriction is unusual for open source software and was designed to prevent the largest tech companies from using Llama without a separate commercial agreement with Meta.
  • You can run Llama on your own computer or servers, train it on your own data, and build products with it, but you must follow the license terms and include Meta's copyright notice.
  • Llama differs from fully open source models like Mistral, which have no user-count restrictions, and from closed models like GPT-4, where you cannot see or modify the underlying code.

What the Llama license actually permits

Under Llama's Community License, you can read the model weights (the trained parameters that make the model work), modify them, and use them to build products. You can run Llama locally on your own hardware, integrate it into applications, fine-tune it on your own data, and distribute software that includes Llama — as long as you include Meta's copyright notice and comply with the user-count restriction.

This means a small software company, a research team, or an individual developer can use Llama without contacting Meta or paying licensing fees. You own the modifications you make and the products you build. The main requirement is that you cannot use Llama if your organization has more than 700 million monthly active users, and you must include a copy of the license with any distribution.

Many developers prefer Llama over closed models precisely because they can see how it works, modify it for their specific needs, and avoid vendor lock-in. If you build a product with Llama and later want to switch to a different model, you can do so without renegotiating terms with Meta.

The 700 million user restriction and why it exists

The restriction preventing organizations with more than 700 million monthly active users from using Llama without a separate agreement is the most unusual part of the license. This threshold captures Google, Facebook, Amazon, Apple, Microsoft, and a handful of other companies — essentially the largest technology firms in the world. Meta included this restriction to prevent these competitors from using Llama's code without negotiating a commercial license.

From Meta's perspective, this restriction protects its business interests. If Google could freely use Llama to improve its own AI products, Meta would lose leverage in negotiations. The restriction is also why some people debate whether Llama is truly "open source" in the traditional sense — open source licenses typically have no restrictions based on company size or market position.

For organizations below the threshold, the restriction is irrelevant. If you work at a company with 100 million users or fewer, or if you are an individual or small team, you can use Llama under the Community License without any special agreement.

How Llama compares to other open source AI models

Other open source language models exist with different licensing approaches. Mistral, released by a French AI company, uses the Apache 2.0 license, which has no user-count restrictions and is considered fully open source by traditional standards. Falcon, released by the Technology Innovation Institute, also uses a permissive open license. These models offer the same ability to read, modify, and use the code, but without the large-company restriction.

The trade-off is that Llama is generally considered more capable than Mistral or Falcon at similar sizes, though this gap narrows as models improve. If you need the most powerful open source model available and your organization is below 700 million users, Llama is often the choice. If you want a fully unrestricted license or you work at a very large company, Mistral or Falcon may be better options.

Closed source models like OpenAI's GPT-4 or Anthropic's Claude offer no access to the underlying code or weights. You interact with them through an API, pay per use, and cannot modify them. This removes the freedom that open source provides, but it also means you do not have to manage the model yourself or worry about licensing compliance.

What you need to do to use Llama legally

To use Llama, you first confirm that your organization has fewer than 700 million monthly active users. If it does, you can read Llama from Meta's official repository or from third-party platforms like Hugging Face. You then run it on your own hardware — a laptop, a server, or a cloud provider — and use it however your license permits.

You must keep a copy of Meta's license with your code or product. If you distribute software that includes Llama, you must include the license text so users know what they are receiving. You cannot remove Meta's copyright notice or claim you wrote the model yourself. Beyond these requirements, you have significant freedom to modify, improve, and commercialize what you build.

If your organization does have more than 700 million monthly active users and you want to use Llama, you must contact Meta to negotiate a separate commercial license. Meta has indicated it is willing to make such agreements, but the terms are not public and would be negotiated case-by-case.

Why Meta released Llama as open source

Meta released Llama because open source models benefit Meta's business in several ways. First, releasing the model builds goodwill and positions Meta as a contributor to AI research rather than a company hoarding technology. Second, open source adoption creates a large community of developers building with Llama, which generates feedback and improvements that Meta can incorporate into future versions. Third, widespread use of Llama makes it a standard in the industry, which benefits Meta's reputation and influence.

The user-count restriction protects Meta's interests by preventing direct competitors from using Llama without negotiation. This is a middle ground between fully closed source (where nobody can use it) and fully open source (where anyone can use it). Meta gets the benefits of open source community development while maintaining control over the largest potential competitors.

Frequently Asked Questions

Can I use Llama to build a commercial product?

Yes, as long as your organization has fewer than 700 million monthly active users. You can build and sell products that use Llama, and you keep all revenue from those products. You must include Meta's license with your product and cannot claim you created the underlying model.

What happens if I modify Llama and share my changes?

You can share your modifications freely. You must include Meta's original license and copyright notice along with your changes. You own the modifications you make, and others can use them under the same license terms.

Is Llama free to use?

Llama itself is free — you do not pay Meta for the model. However, you may pay for the hardware to run it. Running Llama on your own computer costs nothing beyond electricity. Running it on cloud servers like AWS or Google Cloud costs money based on computing resources, but this is a cost of infrastructure, not a licensing fee to Meta.

Can I use Llama if I work at Google or Meta?

If you work at Meta, you can use Llama internally. If you work at Google or another company with more than 700 million monthly active users, you cannot use Llama under the Community License without a separate agreement with Meta. Your company would need to contact Meta to negotiate a commercial license.

How is Llama different from ChatGPT?

ChatGPT is closed source — you cannot see the code or modify it. Llama is open source — you can read it, study it, and modify it. ChatGPT is accessed through OpenAI's website or API and costs money per use. Llama runs on your own hardware and costs nothing to use (though hardware costs money). ChatGPT is generally more capable, but Llama is improving and offers more control and transparency.