Alexander King @literallyaking.com · Sep 20 Interesting preview of the bubble collapse here. Nvidia is sort of paying to rent their own GPUs from the companies that buy those GPUs to resell compute, so that those companies can raise more debt, to buy more GPUs. It's driving demand by using debt, whole thing seems liable to topple over.
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A goldrush where no one has found gold, but the shovel sellers are going to the bank to borrow money to buy more shovels, not to use but to rent out, because the shovel manufacturer has assured them "Don't worry, if they don't move, we'll rent them back from you!" I wonder if this will work forever?
Borrowing money to buy your own products with. Genius! It's like a business perpetual motion device! Surely this has no downsides!