There isn’t an AI bubble—there are three (www.fastcompany.com)
from who@feddit.org to tech@programming.dev on 20 Sep 23:44
https://feddit.org/post/19126905

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SGforce@lemmy.ca on 21 Sep 00:20 next collapse

This guy’s argument is that none of the bubble matter’s. Yes, the fact that they are overvalued matter’s. A company with inflated value take’s on inflated debt. Also, all that infrastructure planned is unlikely to be completed or owned by the indebted companies when everything goes tits up. There’s reason to believe it will not only drag down anyone spending borrowed money on AI, but also scare off big money investors who would have invested in your companies otherwise. Shit article.

Aatube@kbin.melroy.org on 21 Sep 20:50 collapse

A company with inflated value take's on inflated debt

The argument is that this won't happen unless you dip into and rely on the speculation, and that the existence of a speculation bubble shouldn't stop anyone from making the AI service they really want to and instead should encourage them to carefully manage their resources as they normally would without a bubble.

all that infrastructure planned is unlikely to be completed

There's still going to be some percentage of completed infrastructure bigger than before; as the article mentions, that means lower costs for post-bubble entrepreneurs.

or owned

All the better to buy from the creditors for cheap

scare off big money investors who would have invested in your companies otherwise

Why would that happen if the company doesn't use AI?

Aatube@kbin.melroy.org on 21 Sep 20:42 collapse

oh no