Thread

Oracle on the hook to pay data centre investors even if site has no electricity

158 points · 154 comments · Betelbuddy

cmiles8 · 1790335566 · focus · HN ↗
The AI bubble has built a giant interconnected web of commitments backed by a debt bomb. It all flows back to the ability of net new cash to flow in to pay for all this, not just VC funding and circular vendor financing. We’re seeing the early signs of that starting to all implode.
1. PLenz · 1790336637 · focus · HN ↗
  When new money pays old that's a ponzie scheme
  1. mitxela · 1790338258 · focus · HN ↗
    You're calling the stock market a Ponzi scheme?
    nrclark · 1790339447 · focus · HN ↗
    As currently practiced, yes. Non-dividend non-voting shares might as well be pokemon cards. Their only real value lies in getting somebody else to buy them, and new money has to flow in from the outside. The question isn't "will it collapse?", it's "when?"
    marcosdumay · 1790343567 · focus · HN ↗
    AFAIK, US stocks pay back mostly as buy-backs.
    The fact that those are so few relative to what dividends would be is a measure of the market's (lack of) health. But it doesn't automatically make the market a Ponzi scheme.

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