GPUs and RAM are global commodities, like oil. China might bring prices down a bit in the short term by adding supply, but ultimately all will be bought up by the highest bidders, who currently seem to have insatiable demand, unlimited funding, and are hell-bent on wrecking the consumer market.
Rational me agrees with you. But I’m worried that too large a portion of the globe’s growth is coming from AI right now. I feel like they will try to string this out for as long as possible.
GPUs and RAM are global commodities, like oil. China might bring prices down a bit in the short term by adding supply, but ultimately all will be bought up by the highest bidders, who currently seem to have insatiable demand, unlimited funding, and are hell-bent on wrecking the consumer market.
Eventually the money will run out. The spending is insane with very low demonstrable payoff.
I get that companies like Anthropic and SpaceX are claiming >25% of worldwide GDP as their TAM, but those numbers make zero sense. Zero.
Rational me agrees with you. But I’m worried that too large a portion of the globe’s growth is coming from AI right now. I feel like they will try to string this out for as long as possible.
what grows thanks to llms though?
The stock market?
(for now…)