Everybody is following the conflict of course, so no need for background. IT's position is that the loss of X13 and finfleet is just trimming of dead wood; on the other side, mittens just declared that IT is fail cascading and DC will go all in, something that we know they are capable of based on delve war 2.
Two weeks ago I would have put my money on IT cascading (experiencing large-scale loss of space and/or members) by February 1. That seems too early now, but we'll see how it goes -- these things accelerate rapidly once they get under way.
Here's another prediction: Another corp will leave IT by saturday.
Maybe molle will surprise me and manage to hold things together; alliances based on charismatic leaders are surprisingly resilient when the leader is actually leading. I've been through a few cascades though, and internal rot, high-profile military losses and corps leaving are all the ingredients for failure.