What Is Stable Diffusion — Open-Source Image AI: How It Works, Running Locally, and Commercial Licensing
On August 22, 2022, Stability AI shipped the weight file for an image generation model, and image AI stopped being "something behind the cloud" and became "software you run on your own PC." This article covers how Stable Diffusion works (diffusion models), the version lineage (SD1.5/SDXL/SD3.5 + FLUX), the real story of running it locally by VRAM tier, the licensing journey from the SD3 backlash to the current Community License $1M cap, the Civitai/LoRA/ComfyUI/A1111/ControlNet ecosystem, and how to pick between Midjourney and SD. Finishes with three pitfalls: copyright, NSFW, and the compatibility splits between generations. By the end, you will know whether you are the "Midjourney is fine" person or the "you actually need SD" person.