You are right that there are not guarantees. And like you, I suspect that if Tesla finds a new local maximum it will be because of hardware limitations in the car.What's the "known limit" of C++ planning code?
Server-side Teslas stated need for compute power is much higher than their current compute power.
Further, nobody...including Tesla... even knows how much compute is needed car-side. They (Tesla) have guessed incorrectly multiple times at this point, there's no reason to think they know the answer today either.
But now with end-to-end and a massive future investment in compute, I am optimistic that we are on a path to greater improvement than we have ever seen before.