It’s not like anyone is going in debt to pay for gpu’s though. So it’s probably ok. Now if banks start selling 30 year mortgages for gpu’s, I might get a little worried.
Oracle is going to use debt to finance the buildout of AI cloud infrastructure to meet their obligations to customers. They’re the first hyperscaler to do so. Made the news two weeks ago.
Yikes. Oracle just issued 40 year mortgages , I mean bonds. Ok, you can be a little worried now. There balance sheet looks a lot like Coreweave or mstr. I guess the market will allow it for some more time. Nvidia gpu treasury companies can sell a dollar worth of future gpu for $2 for some time I guess. Of course I won’t be buying oracle or mstr… but bitcoin and gpu’s are still fine.
People act like big tech didn't have a mountain of cash they didn't know what to do with. Each of the big players has around 100 billion that just sitting there doing nothing.
Well, Apple spends some of that pre-paying TSMC for their next node in exchange for exclusivity...