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> No way a better text generator and search with bell and whistles will be able to close this gap via subscriptions from end users.

For me this shines a light on a fundamental problem with digital services. There is likely a much bigger willingness to pay for these services than there is ability to charge. I would be willing to pay more for the services I use but I don't need to because there are good products given for free.

While I could switch to services that I pay for to avoid myself being the product, at the core of this issue there's a coordination problem. The product I would pay for will be held back by having much fewer users and probably lower revenue. If we as consumers could coordinate in an optimal way we could probably end up paying very little for superior services that have our interests in mind. (I kind of see federated api routers to be a flawed step in sort of the right direction here.)

> federating NN providers will be hard from the technical point of view...

I don't see how you adress that point in your text? Federation itself doesn't seem to be a hard problem although I can see that being a competitive LLM service provider can be.




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