It is deeply concerning because all things point to reality shaking out with irony. None of these big tech companies have leveraged AI to build anything remotely interesting from a product perspective. Its truly astounding how bad they are at it. Apple has nothing, Microsoft wants to put spyware on every Windows computer and builds the worst coding agent on the market despite having privileged access to every line of source code ever written, Meta put a chatbot in Whatsapp then decided paying researchers ten mil would solve their problems, Google has world-class research teams that have produced unbelievable models, without any plan at all on how those make it into their products beyond forcing a chat window into Google Drive.
Their fear is going to lose them everything. Its a fascinating inversion of the early internet problem, where companies who were unwilling to innovate got out-competed. Everyone learned that lesson and decided "we'll never be unwilling to innovate ever again"; but now their core product stable undergoes constant churn that is pissing off customers and driving competition to eat their lunch.
There is long-term, durable beauty in investing majority effort into making Github the single best place to host and organize code. That need is never going away. There is also necessity in ensuring it has an AI strategy in a post-AI world, no one doubts that, but its a matter of proportion and humility. Microsoft/Github will never build AI products that lead the market. Its not a technology problem; its an organizational and political one. But that's ok, because they could dominate the market with the world's best code hosting platform, an average AI strategy, and a library of integrations with the rest of the frontier world.