> The moat is around capital.

Not really. I can run some pretty good models on my high end gaming PC. Sure, I can't train them. But I don't need to. All that has to happen is at least one group releases a frontier model open source and the world is good to go, no feudalism needed.

> What is more likely, that LLMs lead to the flourishing of entrepreneurship and self determination

I'd say whats more likely is that whatever we are seeing now continues. And that current day situation is a massive startup boom run on open source models that are nearly as good as the private ones while GPUs are being widely distributed.