If they are dividing a few billion dollars in model training between a small number of rich people, it quickly becomes too expensive even for them.

Meanwhile, a free model running locally is good enough for most people. This causes pricing pressure (and I think is probably going to bankrupt most of the AI companies).

More likely IMO is that AI becomes a loss-leader. It'll all be stuff like Grok or DeepSeek where the real profit is in censorship and propaganda.