That's the case right now--but what might a customized model tailored only for a narrow set of OS functions behave like? I suspect its achievable with a lot less compute.

Now is that a desirable product? Would it succeed on the merits in the marketplace? Maybe it would...

As an example, is it faster to multiply 2 numbers using a single MUL instruction or multiply matrices with millions (or billions) of elements multiple times? Multiply that overhead by every single thing you do and that's the overhead of using an LLM to emulate a program.