"AI Ladder Cloud Vertical" -- Trillions of "capital circulation" ultimately need someone to foot the bill
NVIDIA invested $100 billion in OpenAI, which used the funds to purchase NVIDIA's latest chips, creating a capital cycle. This model is not new in the AI field and is similar to previous financing transactions. Although the market values of all parties have surged, it has also raised concerns about whether AI will experience a bubble burst
The biggest news in the overnight market is undoubtedly NVIDIA's $100 billion investment in OpenAI, which will use this money to purchase NVIDIA's latest chips.
This kind of operation is not new in the AI field; previous financing deals between NVIDIA and CoreWeave, OpenAI and Microsoft, and Anthropic and Amazon have all followed this "circular model" (Figure 1);
This "infinite loop" has led to a significant increase in the market value of all parties involved, but it inevitably reminds one of another "loop" during the "dot-com bubble" period involving Yahoo, Cisco, and Sun (Figure 2);
There is no doubt that AI, like the internet, will transform the entire economy. So, will AI experience a bubble burst similar to that of the internet?
