Yeah, I think a lot of people forget that Google (and AI research like this) pumps out a lot of work like this that shows amazing new advances. However, that doesn't mean any of this is near ready.
Here is a 2018 paper about using world models (a concept where a model is developing an understanding of a "world") that used it to create an interactive Doom AI model - https://arxiv.org/abs/1803.10122 just to show that this stuff has been in the works for a long time.
I think "bailed out" is the wrong term, they'll probably be subsumed by another big tech company, like Microsoft or Amazon for relatively cheap. They'll then slow the roll on training new models and start commoditizing it rather than just burning money.
I suspect that if/when OpenAI folds, it'll cause the whole Ai landscape to cool off a bit.