I'd be surprised if major labs aren't doing any diffusion experiments, and if they are, it would also be surprising if another lab is ahead of them in diffusion given just how much more compute they have at their disposal. My intuition could be way off though.

Google more or less ordinated the category. They have now seemingly dropped it, ostensibly because it doesn’t scale economically like transformers do (via batching requests).

I think though, that if Inception can keep up these speeds and prices, assuming diffusion continues to improve (likely), that Flash and Luna could lose out for many use cases.