I would imagine it only gets worse in the face of good-enough open/chinese/local models too right?

Microsoft adding Deepseek support already as I recall?

That is - for any definition of "they are behind X months" then eventually they get to the point Claude was in January when the world freaked out, but at 1/10th the cost. A lot of firms are going to mandate that is good enough for their developers.

If folks won't pay a higher price, doesn't that mean it's inelastic?