I wrote the article, Ed said that in the linked blog post: "There Is No Real AI Adoption, Nor Is There Any Significant Revenue - As I wrote earlier in the year, there is really no significant adoption of generative AI services or products."

There is a pretty clear path to profitability, or at least much lower losses. A lot more phones, tablets, computers, etc now have GPUs or other hardware optimized for running small LLMs/SLMs, and both the large and small LLMs/SLMs are becoming more efficient. With both of those those happening, a lot of the current uses for AI will move to on-device processing (this is already a thing with Apple Intelligence and Gemini Nano), and the tasks that still need a cloud server will be more efficient and consume less power.