And not everyone wants to use a cloud AI either. Remember that when tons of cash is on the table, things like license agreements become less enforceable and more of a "don't get caught in the cookie jar" thing. All it would take is something similar to what's going on with book authors/publishers - a major AI provider exposed as using other firms' proprietary code without even considering to get a license - to totally blow up the "safety" of cloud based coding agents.

Local models are becoming more and more capable but the tooling still needs to get better for those.