Artificial Intelligence

[Spekulatius]

If memory prices stay up for 2 years and then crash back to earth, the memory chip stocks are not worth their current valuations. The value depends on how high memory prices go , how long it lasts and how far they mean revert.

 

I actually think NVDA has some resilience in terms of margins and it’s the better bet here, if you even want to make one. I think for token usage to explode from here, the tokens need to get cheaper which is the way technology works anyways.

Edited yesterday at 02:12 AM by Spekulatius

[DooDiligence]

Another banger from Irrational Analysis.

H/T to @gfp for unearthing this guy.

 

https://irrationalanalysis.substack.com/p/the-king-bleeds-long-live-the-king

[Dalal.Holdings]

 

Apple gets to keep making Free Cash Flow while the rest burn it on capex

 

[DegenerateGambler]

what's the total revenue from AI supporting all this capex?  Anthropic + Gemini + OpenAI + optimization from AI for ad revenue maybe somewhere between 150-300 billion dollars?  And the Capex is set to surpass 700 billion this year.  I guess AI could become a somewhat decent margin business someday but Chinese models are already catching up and 10-30% of the token costs.  Is there a trillion dollar business here just based on LLMs?