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The leveraged US labs are cooked. Debt's coming home. There will be bailouts.
by chr15m 2mo ago
The leveraged US labs are cooked. Debt's coming home. There will be bailouts.
- ranguna 2mo agoWhy? Isn't it all vendor financing with private capital? The loss is private, not public.
- chr15m 2mo agoTrue, but the richest government and military in the world depends on them. Too load-bearing to fail.
- ranguna 2mo ago> richest government and military in the world depends on them How so? stlouisfed said AI companies accounted for around 4% growth of US' GDP in 2025. Not 2008 catastrophical, specially because there's little public debt involved. The actual productivity boost from using AI is there, but its diluted in slop + it's not like AI will disappear if things go south. Chinese models and discounted GPUs will be great for local setups and startups.