But it's intense, even with a very finicky, efficient runtime on a strong desktop. Local LLM hosting is not something you want to impose on users unless they are acutely aware of it, or unless its a full stack hardware/software platform (like the Google Pixel) where the vendor can "hide" the undesirable effects on system performance.
I think that's a reasonable generalization to make.
It produces a considerable amount of heat unless it's run on an NPU, which basically doesn't happen on desktops at the moment.
Hot loading/unloading it can be slow even on an SSD.
Users often multitask with chrome in the background, and I think many would be very displeased to find Chrome bogging down their computer for reasons they may not be aware of.
Theoretically Google could run a very small (less than 2B?) LLM with very fast quantization, and maybe even work out how to use desktop NPUs, but that would be one heck of an engineering feat to deploy on the scale of Chrome.