Friday, December 26, 2025

How Much Does A Billion Cost, Michael? 10 Billion?

One day soon we will realize a computer that gets math problems wrong much of the time is not an especially useful computer.
As A.I. Companies Borrow Billions, Debt Investors Grow Wary

...

Investors in the A.I.-fueled stock market have largely shrugged off warnings about a tech bubble, an optimism that has pushed up share prices to repeated new highs this year.

But the debt market is telling a different story, some investors say. New artificial intelligence companies looking to raise funds to supercharge their nascent businesses are being made to pay lofty interest rates on the money they borrow, indicative of investors’ skepticism when new, unproven A.I. businesses take on large debts.
I've heard a few "AI company" pitches recently and they are all like "a chatbot helps you with something" and I am surprised people are lending at any rate for this stuff.