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What If All The AI Spending Never Pays Off?
What if all the AI spending doesn't pay off?
That's the question no one wants to ponder currently, caught up as we all are in a hype cycle for the ages.
A few brave souls are willing to "go there" (so to speak). Just a few days ago, for example, SocGen's Albert Edwards asked if AI spend might be seen, in hindsight, as analogous to "over-investment in cabling by the Telecoms in the late 1990s."
I think the answer's "no," but the figure below's worth a highlight all the same.
Down there at t
Kinda like a nuclear arms race in which neither superpower can afford to be left behind, none of the hyperscalers can afford to be left behind in case there is a breakthrough application for accelerated computing. Multimodal inferencing from unstructured data,(sound, video, text etc.) will require the highest level of processing power dispelling the popular fantasy that inferencing can be done with cheaper chips/infrastructure. Therefore, the demand for NVIDIA’s Blackwell chips appears insatiable through 2025.