This won't replace commercially viable, revenue generating alternatives of their own devising, but it does enable development activity and initiate conversations with enterprises who start with this model but want to do slightly more.

That's my experience right now... my company is all in on a plethora of platform products. Also, Microsoft just yesterday said their goal was "Unmetered intelligence". There's a lot of things that can be enabled by small local models, and those things are part of stacks that can generate revenue in other layers.

re "Unmetered intelligence" goal of Microshaft.

Of course it is...

This is Windows-Licensing-Level Money Opportunity 2.0.