Competition is great, but it's so much better when it is all about shaving costs. I am afraid that what we are seeing here is an arms race with no moat: Something that will behave a lot like a Vickrey auction. The competitors all lose money in the investment, and since a winner takes all, and it never makes sense to stop the marginal investment when you think you have a chance to win, ultimately more resources are spent than the value ever created.

This might not be what we are facing here, but seeing how little moat anyone on AI has, I just can't discount the risk. And then instead of the consumers of today getting a great deal, we zoom out and see that 5x was spent developing the tech than it needed to, and that's not all that great economically as a whole. It's not as if, say, the weights from a 3 year old model are just useful capital to be reused later, like, say, when in the dot com boom we ended up with way too much fiber that was needed, but that could be bought and turned on profitably later.