I think AI is a bubble. The amount of compute for inference is vastly overestimated, because a lot of caching is coming. It's driven by maniacal statements like Sam Altman's insistence that we must spend Trillions on compute, to achieve AGI, and it's more important than anything else.
Project Stargate is some large fraction of that, and of course Softbank is no stranger to losing money on overestimating demand (for example, WeWork). To be fair, China has a lot of overestimation of demand too (for example Evergrande). The other is that rapid competition leads to overinvestment by all parties.
Which is great for us, we'll have loads of cheap compute and hopefully a bunch more carbon free energy supply, assuming that the AI stuff all ends in tears (for now).
Yep! Shareholders and capitalists overinvesting in stuff is great if it leaves behind great infrastructure. They take the risk and the public benefits.
Project Stargate is some large fraction of that, and of course Softbank is no stranger to losing money on overestimating demand (for example, WeWork). To be fair, China has a lot of overestimation of demand too (for example Evergrande). The other is that rapid competition leads to overinvestment by all parties.
https://www.wsj.com/tech/ai/sam-altman-seeks-trillions-of-do...