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Business
from24/7 Wall St.
21 hours ago

Michael Burry Just Exposed How Big Tech Is Inflating AI Profits

Hyperscalers' aggressive extension of GPU and server depreciation inflates current profits, risking larger future write-downs and overstated AI investment benefits.
fromBusiness Insider
1 week ago

This big AI bubble argument is wrong

The big worry centers on GPUs, the chips needed to train and run AI models. As new GPUs come out, older ones get less valuable, through obsolescence and wear and tear. Cloud companies must use depreciation to reduce the value of these assets over a period that reflects reality. The faster the depreciation, the bigger the hit to earnings. Investors have begun to worry that GPUs only have useful lives of one or two years,
Artificial intelligence
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