Cramer discussed this deal in his opening monologue. Whether this makes sense or not depends on how fast Nvidia chips depreciate. If they lose all their value in three years, then this deal won’t work. Cramer’s position was that since the chips from 2020 are still being used and in demand, then the depreciation period must be a lot longer.
We shall see....
The guy who spotted the point of failure on sub-prime mortgage derivatives and shorted them says it’s too soon to short this new scheme, but hints he thinks the time is coming soon.
Presumably that will be accompanied by disruptions in the markets?
He said the point of failure here is that it all hinges on the success or failure of two companies, Anthropic and OpenAI. (If I heard him correctly)