The debate over whether to build or buy AI localization solutions is becoming increasingly critical for localization managers, language technology leaders, and enterprise language buyers. At SlatorCon London 2026, industry experts Georg Ell, CEO of Phrase, and Riccardo Cocco, Director of Localization at Tripadvisor, illuminated the complexities of this decision. While the allure of developing in-house AI systems is strong—promising rapid prototyping and seemingly fluent outputs—Cocco cautions that such simplicity can mask deeper challenges. Localization is not merely about translating words; it encompasses brand consistency, cultural nuances, and compliance. As these internal systems scale, the risks become more pronounced, with potential pitfalls including inconsistent multilingual experiences and damaging cultural missteps.

Ell, who identifies as a proponent of building, emphasizes the need for companies to critically assess what should be developed internally versus what can be sourced from established market solutions. The analogy he provides—focusing on selling the best travel package rather than building the planes—resonates powerfully in the context of localization. Organizations should concentrate on their core competencies and let specialized providers manage the underlying infrastructure. This perspective is particularly relevant as many companies fall prey to the sunk cost fallacy, mistakenly viewing internal engineering resources as free while neglecting ongoing maintenance, scalability, and compliance costs.

The conversation also highlights a significant shift in how localization value is perceived. The focus is moving beyond mere translation to encompass intent, adaptation, and measurable business outcomes. Traditional KPIs, such as word counts and turnaround times, are losing relevance in the eyes of executive teams. Localization leaders are now tasked with connecting their efforts to metrics that matter—like conversion rates and customer engagement. Ell’s concept of “intent proximity” encapsulates this shift, emphasizing that the ultimate goal is not just accurate translation but content that drives action and achieves business objectives.

As localization teams navigate this evolving landscape, they must position themselves as strategic partners in AI adoption rather than custodians of outdated processes. Cocco’s approach at Tripadvisor, which integrates internal applications with language technology platforms, exemplifies this forward-thinking strategy. This model allows companies to focus on user experience and business logic while leveraging the evolving capabilities of AI models. Ultimately, the uncomfortable questions posed by Ell and Cocco serve as crucial checkpoints for organizations considering internal AI localization systems. They must define success, establish accountability, and remain adaptable in a rapidly changing technological environment. The future of localization lies in a balanced approach that embraces innovation while recognizing the importance of specialized expertise, ensuring that the localization process not only translates but also resonates across diverse markets. For further insights, you can explore the full discussion on Slator.