Warnings over AI boom and massive hyperscaler capital expenditures
- 1Apollo Chief Economist Torsten Slok stated that AI has provided no financial returns for U.S. companies except for large hyperscalers.
- 2He mentioned that hyperscalers' expected capital expenditures this year are $800 billion, and next year's expected capital expenditures are projected to exceed $1 trillion.
- 3CoreWeave shares plummeted more than 30% this month, and the 5-year credit default swap (CDS) rate surged to 1,145bp.
So what's the key point?
Companies are not making money from artificial intelligence, excluding large tech firms. CoreWeave shares fell by more than 30% this month.
Source Fortune · View original ↗
Today's 5 AI picks, all freeNothing hidden: past picks and how they did against the S&P 500.