jilla82
Veteran
I understand some people are skeptical...
but man I see everyone using AI in some compacity.
From developers that code to 20 year old social media addicted zoomers
Peter Thiel sells his Nvidia and Tesla shares. Sign of things to come?
- Thread starter Big Mountain Hélà
- Start date
but man I see everyone using AI in some compacity.
From developers that code to 20 year old social media addicted zoomers
Sir Richard Spirit
Superstar
It’s amazing to me that @Samori Toure is still in here posting like Nividia didn’t come out and beat expectations within the last 2 hours.
the bossman
Superstar
people don't get how early all this stuff still is. We're just laying down the railroads right now. Generative AI has been cool so far, but I think people are making the mistake of thinking that's it. Like AI is nothing more than cool chatbots.
We just started digging into the agentic stuff this year. And we haven't even really had physical AI kick in yet which you can make a good argument that it will be WAY bigger than generative AI.
everything is always a dot com bubble to people.
IIVI
Superstar
Yup.people don't get how early all this stuff still is. We're just laying down the railroads right now. Generative AI has been cool so far, but I think people are making the mistake of thinking that's it. Like AI is nothing more than cool chatbots.
We just started digging into the agentic stuff this year. And we haven't even really had physical AI kick in yet which you can make a good argument that it will be WAY bigger than generative AI.
everything is always a dot com bubble to people.
Plus remember, the dot.com bubble popped, but the internet is still standing.
These garbage grifting A.I companies will get clapped, but A.I and the true companies involved with it’s progress and infrastructure will still be here and will grow to be exponentially more insane than they are today. A.I is the internet in this comparison, not the dotcom.
We’re just in LLM’s today, which were a jump up from Deep Learning that people thought was the future back then. It’s the same principal. The next thing up from LLM’s are going to be wild.
Betting against humanity’s best minds is a bad bet.
Sir Richard Spirit
Superstar
WASHINGTON (Reuters) -The U.S. Commerce Department said on Wednesday it has authorized the export of advanced artificial intelligence chips, the equivalent of up to 35,000 Nvidia Blackwell chips, to two companies in Saudi Arabia and the United Arab Emirates.
The companies, G42, which is a state-run AI company based in Abu Dhabi, and Humain, which is a Saudi government-backed AI venture, have big data center projects planned in their respective countries.
The announcement coincided with the first visit to the U.S. by Saudi Arabian Crown Prince Mohammed bin Salman since 2018, and represents a big show of support by the U.S. in the two countries AI aspirations.
"Both companies are receiving approvals to purchase the equivalent of up to 35,000 Nvidia Blackwell chips (GB300s)," the Commerce Department said in a statement. A total of 35,000 Blackwell's are worth an estimated $1 billion, but prices vary.
The approvals are conditioned on both companies meeting rigorous security and reporting requirements," the Commerce Department said.
Earlier in the day Humain, a government-backed Saudi AI firm, said it planned to purchase of 600,000 Nvidia AI chips.
Humain and Elon Musk's xAI plan to jointly develop data centers in Saudi Arabia, including a 500 megawatt facility.
Somebody gotta fill these orders
The companies, G42, which is a state-run AI company based in Abu Dhabi, and Humain, which is a Saudi government-backed AI venture, have big data center projects planned in their respective countries.
The announcement coincided with the first visit to the U.S. by Saudi Arabian Crown Prince Mohammed bin Salman since 2018, and represents a big show of support by the U.S. in the two countries AI aspirations.
"Both companies are receiving approvals to purchase the equivalent of up to 35,000 Nvidia Blackwell chips (GB300s)," the Commerce Department said in a statement. A total of 35,000 Blackwell's are worth an estimated $1 billion, but prices vary.
The approvals are conditioned on both companies meeting rigorous security and reporting requirements," the Commerce Department said.
Earlier in the day Humain, a government-backed Saudi AI firm, said it planned to purchase of 600,000 Nvidia AI chips.
Humain and Elon Musk's xAI plan to jointly develop data centers in Saudi Arabia, including a 500 megawatt facility.
Somebody gotta fill these orders
It’s amazing to me that @Samori Toure is still in here posting like Nividia didn’t come out and beat expectations within the last 2 hours.
Good for Nvidia, but that doesn't change the fact that there is an AI bubble.
Second of all why the fugg are you seeking my attention? You don't need my approval for shyt. Move the fugg on.
IIVI
Superstar
That copium
Dude tried to make a statement shorting NVIDIA before leaving the game and got wrecked.
El_Mero_Mero
All Star
Any thoughts on what companies will still be around "when the dust settles"?
Nvidia is one for sure, but what other 3-4 companies will still be around. I'm just asking for opinions on the CoreWeave, Nebius, etc. I know that companies like META, GOOGLE, etc. will still be around since they were big names before all of the AI talk.
Wargames
One Of The Last Real Ones To Do It
That copium
Dude tried to make a statement shorting NVIDIA before leaving the game and got wrecked.
No its real but there is just no way Trump gonna have the Feds do anything about this while it’s the only thing propping up the economy.
Treblemaka
President, BYNKRadio.com (Retired)
The sentiments right now are too funny. A.I only started really hitting heavy mid 2023. It’s only been 2 years.
Imagine thinking the smartphone craze was finished in 2009
Companies did this during the smartphone era too. We acting like tech companies weren’t investing in each other during this time when streaming and smartphones was new?
Literally how business works. As long as there’s an output (people) it’ll flow.
Social media really made people dumb.
He already told yall, half a trillion in orders. What are we talking about?
The “bubble” is being stabilized by real demand, real profit, and the standardization of ai taking place daily.
Yall worried about Peter Theil? Didn’t yall just have a thread on him being the anti christ?
Open AI has 1.5 Trillion in Spend commitments while only making ~13 Billion in revenue last year. Thats like someone who makes 100k a year buying a 10M home.
Those spend commitments will be reported on partner company balance sheets as revenue even tho Open AI has no way to ever pay that back without continued investment.
Another problem is the companies buying chips from Nvidia are reporting the chips will last an upwards of 6 years when Nvidia only has them lasting 3. What happens when these companies realize they have to spend 10s of Billions every couple of years to replace chips that dont even have a profitability model right now.
Palintir has an evaluation 500x higher than its yearly revenues. Thats literally 450x higher than the average high end tech company (M$, Meta) which many more tangible assets, a large diverse market share, and clients that arent just world governments. Thats sign the hype train has left the station and we are valuing some of these companies in a way that mars no financial sense.
The real danger is that no one has shown a way to make the money back. At least with smartphone tech you could sell them directly to consumers and can liquidate the used products to other markets or pivot the architectureto other uses. AI is a primarily commercial tool. For individual consumers its just making gimmicky videos and enhancing chat bots. No one has produced a profitability model that will recoup the investment. The once the chips are ran through they are practically useless as well so you dont have a resource liquidation model to decrease the initial cost of investment with a backend divestment strategy.
The dot Com was never responsible for 40%+ of Gdp growth and the majority of that investment wasn't consolidated to 7 or so companies like the dot Com boom was. The America economy at the time was much more diverse and consumers had a better investment portfolio (more home owners by %).
US Gdp wasn't dependent on the dot com bubble to grow. It is for AI. The US economy would technically be in a recession without AI investment. Thats a different danger.
If things are so good can you tell me what the model to profitability with these companies (outside Nvidia) to increase profitability in a way that doesnt complete wreck the American economy?
Because Sam Altman hasn't come up with one. Mark Zuckerbergs AI related ideas have all failed and Alex Karp brings up politics every time you ask him about his companies business fundamentals.
TLDR: "They'll figure it out" aint a plan or a strategy, breh. The American economy outside this spending frenzy isnt healthy. And if this doesnt work it'll tank the economy because Trillions have been spent on this and its responsible for most of the growth in the last 2 years.
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IIVI
Superstar
For now, I’d still say primarily: TSM, NVIDIA, GOOGLE, META.
Once again though, these should still only be 25% of the portfolio total. QQQ and any S&P500 ETF like VT, VOO, etc. should be 75% of the portfolio.
The main thing is compound interest.
IIVI
Superstar
I get the skepticism, but I think the '100k earner buying a 10M home' analogy misses how CapEx works in tech. You’re looking at the 'Infrastructure Phase.' In the late 90s, companies spent billions laying dark fiber that didn't pay off for a decade but eventually, that infrastructure made the modern internet possible.
OpenAI’s spend isn't consumer debt, it’s R&D and compute acquisition.
The revenue is lagging, but that is true of every major platform shift. If we judged Amazon by its profitability in 2002, it would have looked like a disaster. The bet isn't on chatbots, it’s on AI solving the cost of intelligence for coding, drug discovery, and logistics. It's risky, sure, but calling it 'useless' once the chips wear out ignores the IP and models built with that compute.
The $1.5T spend isn't a credit card bill due next month, it's a 10-year capital commitment to build data centers that will likely be the most valuable real estate on earth. If you judge a bridge’s profitability while it's still under construction, it always looks like a money pit.
