The consequences of using scrypt mean that there has not been as much of an 'arms race' in litecoin (and other scrypt currencies), because there is (so far) no ASIC technology available for this algorithm. However, this is soon to change, thanks to companies like Alpha Technologies, which is now taking preorders.
Alpha Technology has been "taking preorders" for a very long time - and still has yet to deliver anything. Not sure if they count actively as a scam at this point, but all the available evidence is pointing that way, though it's possible they were underfunded and just couldn't deliver.
The real, abet fairly small, Scrypt arms race has been between Gridseed (now part of SFARDS), Innosilicon (Their A2 Terminator and various spinoff designs), KnC (the Titan DID eventually ship, with very high performance and junk reliability, and a subsequent withdrawl from ALL retail selling or any further interest in Scrypt), Alcheminer (which has since sold out with no indication they are going to bother with a new generation product), Zeus (dead), Silverfish (also appears to be dead), and I think I might be forgetting one.
The ONLY folks that have done a "second generation" of Scrypt chips to date are SFARDS and the "announced" Innosilicon A4.
Compare to the dozens of Bitcoin ASIC chips to date, and at least 5 current companies with a "new generation chip", often in the 3'd 4'th or even 5'th generation from that company, announced or delivered in 2015 alone (Sfards has released, BitMain has announced "soon", Innosilicon has announced tapeout, KnC has announced deployment, BitFury appears to be deploying but only sells to large farm groups now) - and some question as to how many OTHERS with track records are working quietly on "new generation" products with no announcement yet like Avalon.