I find myself in 100% +1000 strong agreement with this article, and I wrote something very short on the same topic a few days ago https://marklwatson.substack.com/p/ai-needs-highly-effective...
I love LLMs, especially smaller local models running on Ollama, but I also think the FOMO investing in massive data centers and super scaling is misplaced.
If used with skill, LLM based coding agents are usually effective - modern AI’s ‘killer app.’
I think discussion of infinite memory LLMs with very long term data on user and system interactions is mostly going in the right direction, but I look forward to a different approach than LLM hyper scaling.