This is all true. Competition reduces a company's profits. OpenAI reducing their costs isn't what hurts them. They're better off with lower costs. Their compet

This is all true. Competition reduces a company's profits. OpenAI reducing their costs isn't what hurts them. They're better off with lower costs. Their competitors getting lower cost models is what hurts them. Absolutely some AI companies will be out-competed and fail. I don't know which one will end up on top. But even if almost all the AI companies fail, it doesn't stop the industry as a whole from being very valuable. Whichever AI companies are left will just take over the market share of those that failed. And this eases the pressure on the surviving companies.