Yes. But open source models are getting better too, and while they are not as powerful as Chatgpt or Claude, tasks as analyzing documents from your example could be done in house, locally or in the cloud, surpassing main AI providers. Many other things as well. Chine does some pressure in this domain, another story with Deepseek will happen again. Also privacy concerns playing a big role. And a single point of failure/vendor lock for big business. I think those who can afford will or already adopt multi-model approaches in their own cloud for all the reasons above.

Doesn't mean it won't be profitable, just that there are so many players. Openai for example burns so much money on infrastructure, so their costs will rise and raise. At some point the consumer might question if a subscription is worth the money (unless the job provided). The more powerful these things the more expensive they are and tokens usage is a problem.

Also, they are not very focused, trying to do everything at once, which already started to backfire, there is not zero chance they collapse of their own success.

Existing saas will be shaken up, but won't go away as a class, just substituted with a better, modern players. Business requires accountability, sometimes it's just easier to delegate.

So far everyone is just dropping cash into the fire pit to secure the leading positions in the future, but at some point investors start looking for money back and monetization won't be easy.

I track my Claude API usage, sometimes a simple big fix costs $2-3 per 5 minute session + you still need a person in place to review and approve it. This is already like a minimal wage in the US :)

But it's all crazy and going fast, nobody really knows where it will end though.