Comment by kerabatsos

It wasn't an 'it' it was a 'some'. Some of these companies that are investing massively in data centers will fail.

Right now essentially none have 'failed' in the sense of 'bankrupt with no recovery' (Chapter 7). They haven't run out of runway yet, and the equity markets are still so eager, even a bad proposition that includes the word 'AI!' is likely to be able to cut some sort of deal for more funds.

But that won't last. Some companies will fail. Probably sufficient failures that the companies that are successful won't be able to meaningfully counteract the bursts of sudden supply of AI related gear.

That's all the comment you are replying to is implying.

Given the amounts being raised and spent, one imagines that the ROI will be appalling unless the pesky humans learn to live on cents a day, or the world economy grows by double digits every year for a few decades.

I mean that is how capitalism works, no?