AI models that require a huge amount of memory will be done in the cloud.
Will memory demand increase by 2033? Of course. Will demand reach 1TB of RAM for a consumer level computer/mobile device? No.
On the other hand, yes, everyday use (web, mail, video/media consumption) don't require today much more than 8 or 16GB of RAM. If we go a bit creative, a PC with Linux can run very smoothly on 4GB alone, and surely someone here can point to their one anecdote of a machine with 2 GB or even 1 GB sporting a nice desktop environment, or 128mb CLI-only machine.
Edit: also memory has to improve its bandwidth and data transfer rates to keep up with faster processors, so it could also improve over 10 years time without much focus on storage capacity. Or maybe they focus on latency instead, or a mix of all three. Point is that it's not a single metric to improve.
Speculative Sampling allows to run a smaller model locally and only check up with a larger model in the cloud from time to time, once every few tokens.