Some of the effects of caffeine are subject to diminishing with tolerance, others are not.

People develop tolerance at different rates, and it depends on dose and usage pattern, etc. It's not hard to use caffeine a lot and never develop a strong tolerance. (Probably not true for everyone, And it's a different story if you've already been drinking multiple cups of coffee every day for decades).

There's some really fascinating research on caffeine use out there, highly recommend that rabbit hole for the interested.