1. I think LLMs will end up pretty dramatically shrinking MTTR, a lot of that will be tooling to proactively resolve problems as soon as they start, but a lot of it is that agents are very good at finding and fixing problems by correlating data, something humans can do but I think we're going to be slower at 2. "The models are down" doesn't seem like a very realistic problem unless you have a single provider/set of endpoints. I do not recommend this setup but I guess if you have a single point of failure that is a risk.

They may very well shrink MTTR and increase deploy frequency at the cost of all other metrics

If the models are down you are probably in the same situation as when aws is down. A collective shrug, everyone is down, no one will take the blame individually.