local models are going to win and therefore the hardware providers, Apple and nvidia.

There isn't going to be any moat for the hosted providers besides hardware scale. They can run your request on shared 1TB memory hardware, or whatever.

But local hardware is going to catch up, the hosted providers are going to become commoditized, and the costs are just going to be compute whether its your hardware or theirs.

And your laptop is going to be powerful enough to be good enough for most cases.

Local hardware catching up doesn’t matter if the thing worth having never leaves the building. Enterprise services are hard, moat is in distribution and know how.