If the business model collapses, it can lead to shutdowns, running models is expensive and if no one wants to pay the actual costs the party stops. If only a few people are willing/able to pay the high actual costs then scale gets lost as well, keeping prices up high.
Sure the cat is out of the bag and it’s likely there’ll be some form of generative AI in future, but the ecosystem is likely to be very different to the mass-investment loss-driven environment we are currently seeing
This also has cause and effect backwards in many cases. People who do awful things are ripe for blackmailing and controlling, so they get inserted/promoted to important positions to act favourably for those running the blackmailing. (eg the Epstein files)