The valuations of the hyperscalars won't sustain just being more efficient than something you can run locally. There's a market there, but it's for margin on a commodity. They're priced for oligopoly on unique, premium products.

Yes, it's all about the amount of money invested right now. Justifying that was always going to be tricky, and it still is.

The compute capacity, however, is here to stay. There will be a seemingly endless line of people queued up to buy it at pennies on the dollar if this whole thing blows up financially. And they will use it!

I very much don’t want to run it locally. I want the same one running somewhere else that I can interact with from all my devices. Look at something like Grok Bot. Nobody is going to run this locally. You can already self host almost anything, yet most people and businesses don’t.