TSM
TSM has no excuses. They lost, plain and simple. That being said, I am not a hopeless optimist when I say TSM can come back so much stronger and if they do, I definitely see worlds semi-finals in their path. Keep in mind that TSM has only played with Biofrost for 1 season. Yes, they "clicked" with him and the transition was smooth, but there are still things that the other team members can learn from his playstyle and there is still so much he can learn from the others. There are two possible scenarios.
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TSM gets crushed. Honestly, after riding into worlds with this much hope and expectations, and then to drop in the last game of group stages, its brutal. And this could kill the team. It's one thing to suck in worlds. It's another thing when NA and EU put their faith in them, Korean teams say they are the best team in NA ever, and TSM themselves say everything except for the top 4 is a failure, and then failing. This could put the players in a perma-tilt situation and possible even the organization.
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They rally. They learn, they grow, and they practice so hard that they are living and breathing league of legends. Just like after the spring finals, they bounce back and use this loss to gain determination and to propel themselves forward. If they do this, I believe that they will become an unstoppable force. There are many reasons for this but I believe the two biggest ones are Biofrost and their gameplay. Biofrost is still fairly new and the players will learn more about his playstyle over the season break and he will learn more strategies and possibly become a shot caller himself. Secondly, TSM continues to get better at understanding League. I believe that with the way they have been practicing, TSM will start picking up some playstyles from Korean teams and become that much stronger.
I think both scenarios are very possible and I won't be surprised if either one of these scenarios come true. I also believe that this can be an individual issue where some players will go with scenario 1, and the others go with scenario 2. Again, no excuses for TSM this year and stop trying to make some. I am excited to see their response to this however, and see whether next year will be their best one yet or if they will fall for a long time.
tl;dr TSM has no excuses for losing this year. But they will either come back and be huge, or will never recover from this loss. It's up to them.