There are serious balance sheet concerns for these companies with exposure to OpenAI, Anthropic and such.

It’s all fun and games till it’s not. All this capital investment is going to start hitting earnings as massive deprecation and/or mark-to-market valuation adjustments and if the bubble pops (or even just cools a bit) the math starts to look real ugly real quick.

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jimnotgym 3 hours ago | parent [-]

The market is not there at all though is it? Nobody is paying what it actually costs to deliver AI services. It is not clear to me that it is cheaper than just paying people to do the work.

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zerosizedweasle 3 hours ago | parent [-]

Someone did a calculation using heat generated - energy usage (which is ultimately the base cost of the universe) - and the human brain and body is just incredibly most cost efficient than how we're doing AI. So for basic tasks it's just absurdly expensive to be using AI instead of a human.

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rhubarbtree 3 hours ago | parent [-]

we don't pay humans in the food they consume

	▲	zerosizedweasle 3 hours ago \| parent [-]
		We don't pay for GPU's in the energy they consume either.