You can hold your breath for AI bubble popping, even if one of the large AI companies runs out of investor confidence of returns in stock prices and their stock price plummets, they won’t be able to pay for all the future reserved capacities. Since they have been paying with shares and not cash. There will come a time when they can’t afford to dilute shares to pay for hardware.
What happens then? Hardware manufacturers will still want to offload the inventory, if corpo clients can’t buy it, they’ll sell it in retail for whatever they can.
So I guess if AI survives and we find enough end consumers to pay for it, hardware is not becoming cheaper for half a decade, but if it doesn’t find consumers and crashes, we’ll get some sweet cheap hardware just in 3-4 months after the first collapse.
You can hold your breath for AI bubble popping, even if one of the large AI companies runs out of investor confidence of returns in stock prices and their stock price plummets, they won’t be able to pay for all the future reserved capacities. Since they have been paying with shares and not cash. There will come a time when they can’t afford to dilute shares to pay for hardware.
What happens then? Hardware manufacturers will still want to offload the inventory, if corpo clients can’t buy it, they’ll sell it in retail for whatever they can.
So I guess if AI survives and we find enough end consumers to pay for it, hardware is not becoming cheaper for half a decade, but if it doesn’t find consumers and crashes, we’ll get some sweet cheap hardware just in 3-4 months after the first collapse.