has anyone written about what happens if all these billion-dollar-a-pop AI datacenters are actually built
and then the finance paying workload never materializes?
so they just declare bankruptcy and what society just absorbs it?
and then the finance paying workload never materializes?
so they just declare bankruptcy and what society just absorbs it?
Plus loan rates are high meaning rational people either pay less for, or completely avoid buying houses, cars, and all the things that go with (furniture, yard maintenance tools etc)
I was talking to a realtor I bumped into last month, he said that houses are staying on the market longer because sellers don't want to accept the offers they are getting. In some cases people are upside down or close to it.
It has been a long time since people have had to deal with the idea that their house will do anything other than increase in value. He said he thought up to a 50% "adjustment" in home prices is coming.
But if people start losing their jobs and cant/wont make the payments like in 2008 , could drop hard.
The big question then becomes: what is the market value of these things? Is it even positive? Creditors will eat the difference between that number and whatever they actually lent (less what they've been paid back so far, if anything).
If you had to redo one of the most expensive parts of laying all that track in order to use it, yeah.
Hardware that's specialized for building LLMs or for running LLMs isn't same sort of hardware you'd use to -say- serve up newegg.com.