It's very real. Just in the past 2 months or so IMO there's been a pretty big improvement in claude for local dev (although I think a lot of that is less model strength and more harness capability). 1m context is a huge difference (~30 min vs 2.5hr between compact significantly increases the scope of what I get the AI to do before it goes stupid). The other biggest difference I've noticed is a better balance of actually doing the work vs pushing back on bad ideas. I want the AI to tell me if it thinks the thing I am telling it is wrong or a bad idea, but if I confirm, I want it to do that anyway. A couple months ago, the claude was a lot more likely to either say "This is too much work I'm not going to do all of it", tell me the idea was genius (and then pretend to do it) or something equally useless.