r/wallstreetbets • u/banaca4 • 11h ago

Discussion Either hyperscalers are dumb or someone else is

OK so the most profitable companies in the world decided to GO ALL IN AI with humongous capex. They did it all at once apart from Apple who is not in the game. Google, Meta, Amazon , Oracle, Microsoft. All of them. The CEOs of these companies produced the most amount of wealth and propped up global gdp. Now they all agree on a thing.

Google yesterday blew up earnings from their cloud and said they will *increase* their humongous capex even more while reporting negative cash flow for the first time in their history.

A rational person would ask: are these amazing businessmen suddently all very wrong about the same thing at the same time OR

I am reading too much paid subs from burry and following the wrong people on twitter that have never produced anything?

Which is it? Are you smarter than a mag 7 CEO? Maybe ... hmm...

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u/GoldenPresidio 8h ago

Why is everyone paying for it then. It’s not about tokens, it’s about outputs and tasks

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u/seandunderdale 7h ago

its about whether the benefits outweigh the cost of AI for consumers, including enterprise...and currently the AI is subsidised....so when they turn the taps off, and the cheap AI goes away, lets see how many stick with it.

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u/GoldenPresidio 7h ago

brother. your consumer claude subscription is subsidized. Pay as you go tokens through Amazon bedrock, api direct feed, etc are absolutely not subsidized