Agree with the first part - but I can run GPT OSS 20b, a highly capable model on my laptop with 32GB of RAM at speeds that for all practical intents is as fast as GPT-5.4 and good enough for 90%+ of non-technical use cases.
As such I can't agree with "The only hope for a handheld execution of a practical, and capable AI model is both an algorithmic breakthrough" - we are much closer than 15/20 years to get these on a phone