If I understand your question correctly, it reduces the value of software to almost zero. Meaning all of the SaaS companies are going to have to work very hard to diversify their revenue streams into value added services. That's going to be very difficult or impossible for most to navigate. Hence the term in the industry "SaaSpocalypse."

Some companies will retain a moat. For example, YouTube holds incredible IP, and until AI can replicate that wealth of content at scale for cheap, it will remain profitable. Facebook has the user critical mass. Increasingly, hardware for inference is going to be a moat. So is electricity.

Which loops back to my comment above: this breaks a lot of the market dynamics required for a functioning economy. Accelerationists are convinced that we'll invent new jobs to replace the old jobs, but I don't think that's going to happen. Certainly not at the pace of change we're seeing.