The more advanced algorithms than Strassen's are even worse in terms of the cutover point, and are never seriously considered.
The hope is that these small improvements will lead to new insights that will then lead to big improvements. I doubt how matrix multiplication will be done will really change regardless of these theoretical results, unless something really groundbreaking and shocking is discovered.
It's all relatively pretty in the grand scheme of things.
That smells a little bit like a loop unrolling and/or locality improvement to me, You can often beat a theoretical algorithmic improvement with a practical one in such situations. And if you do a little bit of both you hopefully end up with something that's faster than the current most practical implementation.
As it stands right now, it is actually better to have a slower algorithm that uses the local memory more efficiently.