There's a huge difference between utility software, especially utilities that are inherently network-based like "a search engine", and application software used for content creation.
If Google Docs suddenly disappeared, everyone would just continue as usual, except that they now use MS Word or LibreOffice instead. If GPT-3 disappeared, what's the alternative?
I feel like everyone is just playing devil's advocate. Almost every developer I know wants a native API or have the option of taking something out of the cloud. It's why paas died and docker as a service took over.
There are open models, eg. Bloom. Same with Stable Diffusion (open) and Dall-E. Creating these isn’t impossibly hard. Some ML ops company showed how you could train a GPT-like model for like $250k or something.