I think Zitron's problem is he's equating AI to OpenAI and Anthropic. I'd agree with him that both those businesses are in a dangerous position given how fast they've burnt through cash. However, that's not the entirety of the industry and there are a lot smaller labs doing more for a lot less capital.

The business model does appear to be viable for these labs. But that viability comes because they aren't wasting a bunch of R&D money developing worthless products like AI video production.