Wrong. The depreciation cost on the hundreds of billions of dollars spent on the AI build-out is almost certainly larger then the AI industry's gross income. This is a vastly different depreciation cost schedule than AWS.

Well it all seems like a waste of money if you don't believe that AI models are getting significantly more useful every generation, and that the scale-up is on a path to AGI within the decade. These companies obviously do believe in near-term AGI thus even extreme capital expenditure is worthwhile.