Or put another way, the frontier models are very quickly deprecating assets, because of the competition in the market.

They have to keep getting better to stay ahead of each other and open weight.

Which means it's the opposite of a timebomb, the article has it completely backwards, tokens at current level of reasoning will continue to get cheaper.

I'm not sure 'local' will be the end state, as hardware needs are high. But certainly competitive forces tend to push profit margins toward zero.

Extended discussion on this topic:

https://corecursive.com/the-pre-training-wall-and-the-treadm...