So yeah, I think models on local hardware will be quite common soon among the tech savvy (such as people creating software).
E.g. grok isn't truly multi-modal, it has a callable tool that is a separate VLM it invokes on image URLs or files (for a long time it was grok-1.5v, but I think they have upgraded now, it was pretty bad).
And then you have the small summarizer models for the CoT/thought traces, the guidable summarizer models for the standard browse tools, etc.
There's a ton of stuff that can use an aging GPU.
A100 -> H100 was >3x tokens per joule, H100 -> B200 >10x. There are significant low-hanging fruit still available in architectural efficiency, and the vendors are chasing them.
This is the big risk for AI companies that I feel is not being sufficiently priced in. Almost none of the investments they are making are durable, the depreciation schedules for everything but the real estate should be less than 24 months. Until the hardware is stable enough that you only get double-digit % improvements per generation, it should almost be counted as opex.
As it stands there's way more demand than supply. The new GPUs are going to run frontier models while the older ones serve smaller ones.
That said some of these are running in tents hooked up to mobile turbines. I can see some of those going away but generally I think you'll see them used until they start to fail in 5-10 years.
I do hope you're right that it will get cheaper over time (it should), but right now 32GB of VRAM is not affordable to a lot of people. You're talking ~$4500 just for the GPU, or $800 ish used if you can find one.
It's a tad less efficient and a bit more of a hassle, but still a good experience for only a fraction of the price.