I dunno a lot of things said about AI economics sound like an IBM executive making reassuring statements about their terminal/mainframe business before the personal computer took off.

Like even if you run it in a datacenter in this scenario, you could do it on a cheap GPU instance in Azure, you still wouldnt need OpenAI or Anthropic specific clouds.

>uses 300W of power to do so.

There are plenty of people with phat electricity pipes in their on prem server rooms that have been vacated for cloud. Companies who want the benefits of AI but dont want the risk of sending their data to foreign API endpoints.