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Are you suggesting that such a scenario would be worse than the current situation - nVIdia having a monopoly on DL hardware?

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Not at all. These startups have to hold out a bit longer. The AI revolution is just beginning. They are selling short.

Hard to do. The funding landscape doesn't really support very long term AI applications without an associated consumer application as proof. Commercializing AI is quite hard actually and most of the AI projects you see are cost centers for the bigs (Alphabet, Apple etc...)

Novel ML implementations have a lot of R&D overhead and need a (comparatively) lot of incubation before they are effective. Tying that to a commercial success adds magnitudes of complexity that 99% of Venture doesn't like.

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