They are neck-and-neck only because they are participating in the arms race. The only other way to keep up is mass-distillation, which could prove to be fragile (so far it seems to be sustainable).
I think one needs to at least recognize the possibility that... there just isn't any more data for training. We've done it all. The models we have today have already distilled all of the output of human cleverness throughout history. If there's more data to be had, we need to make it the hard way.
That's not true. Moreover the progress can slow to a crawl where it's barely noticeable. And in that world the humans continues to stay ahead - that's the magic of humans. To be aware of surroundings and adapt sufficiently whilst taking advantage of tools and leveraging them.
But if you say stuff like this on here you get down voted. Why?
But no, businesses are dumb. They always have been. Existing businesses get disrupted by new ideas and new technology all the time. This very site is a temple to disruption!
Proprietary advantage is, 99.999% of the time, just structural advantage. You can't compete with Procter & Gamble because they already built their brands and factories and supply chains and you'd have to do all that from scratch while selling cheaper products as upstart value options. And there's not enough money in consumer junk to make that worth it.
But if you did have funding and wanted to beat them on first principles? Would you really start by training an LLM on what they're already doing? No, you'd throw money at a bunch of hackers from YC. Duh.