Intel today announced a significant update to its AI Assistant Builder, introducing a new hybrid solution that combines on-device and cloud-based artificial intelligence. The update is designed to improve the performance, speed, and latency of AI agents on Intel-powered AI PCs while maintaining data privacy by processing sensitive information locally. Demonstrated at the Intel Technology Tour, the new hybrid framework was shown to enhance an AI browser agent and accelerate PowerPoint generation. This evolution of the AI Assistant Builder leverages both local system resources and powerful large language models in the cloud, aiming to offer the best of both architectures. This approach is intended to reduce costs associated with purely cloud-based AI solutions. The full performance benefits of this hybrid AI solution will be realized with the launch of Intel's upcoming "Panther Lake" processors, which are expected to provide a substantial increase in computing power and memory bandwidth. The full software release is scheduled to coincide with the launch of Panther Lake PCs in 2026.