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Monday, July 29, 2024

The 'AI' Scheme Is Falling Apart - by Karl Denninger

 Read full text: https://market-ticker.org/akcs-www?post=251774

It isn't that we can do various technological things -- the question is always where is the revenue, does it exceed the cost, when will it come and what is the cost to deliver each dollar of said revenue?  If it costs $2 to deliver $1 in revenue you're done when the market gets tired of funding your unicorn dreams with ever-escalating stock prices, you pay $90 for $100 in revenue and your competitor can do it for $45 we'll be looking for your mug in line at the nearest Bankruptcy Court.

The market appears to finally be demanding an answer to the question that has been waved off for the last several years:

When, and in what amount, will you actually earn REVENUE by buying and operating all this "stuff"?