Everyone is making fun of him for this clumsy take, but there is some truce to it. It's essentially how Cloud computing came about. We will have good LLM models that run on local hardware, and that is fine. However, it is foolish to think that it will ever make economic sense to run frontier models on hardware that sits idle 40% of the time.
Indeed. It is like cars vs public transport. Or private planes vs airlines. I am sure Vampire Sam would love to hand over his cars and jets because it is more efficient use of resources to take the bus.