This is the biggest reason why the AI bubble is going to pop, me and our financial adviser talked about it last month.
-SB
Mine and I concluded the same.
There is just no way these investments can generate cash flow large and fast enough to produce an even moderate return. The money is in the materials but for how long?
Has anyone seen a business plan for any of these base case AI investments? I have looked and not found any.
I built a model, have done so many times for many other investments, and can’t make this investment work witho any reasonable outlook even based on the AI guru’s wildest expectations. I see Wall Street is starting to push back on financing. Is the blush off the tulips?
$20 bucks a month for access for even a billion users won’t do it. I know the goal is in industrial application and to become internet like but it still doesn’t work. What is more, they expect to need constant upgrade and expansion at similar cost to the initial investment.