Nothing about this has anything to do with AI. It has to do with Musk's ethical and engineering standards, or the lack thereof.
There currently is no path towards profitability, it's just a question of whether you can grab funding before it dries up.
Viable AI companies will one get to profit. Firms layoff qualified people because AI is much cheaper. Now there's no easy turning back, so if AI service increase prices by 50%, well you don't have option.