>Then 4.5 flopped, while o1 demonstrated that gains could continue by reasoning (scaling up compute at inference time). o1 is now the ancestor of all their flagship models from GPT-5 on.
That's not quite right. They are still scaling model size and have had several new base pre-trains, just nothing so big as 4.5 (as far as we're aware). o1/4o has not been the base for some time now.
Data is obviously a bottleneck for some regimes and LLMs will have to get their hands dirty experimenting but it doesn't look like an insurmountable wall either.