ONE. Everyone will know it's coming but no one will see it coming.
TWO. All the participants with something to lose will act surprised. Especially those that have behaved badly.
THREE. The US government will invoke "national security" to bail out everyone involved. After all, we can't let China win. That stands to reason. And, surely, AI is too big to fail. Or, at the very least, too big to be allowed to negatively impact the stock portfolios of senators and congressmen.
FOUR. Because of THREE, all the key players will become fabulously wealthy.
FIVE. The hunt for those responsible will begin.
SIX. Somewhat akin to blaming the driver of the last truck to cross over a crumbling bridge that subsequently collapsed, the junior technician that was the last to plug an Nvidia GPU card into an AI server center rack, and an 81 year old lady, whose sole distinction is to have entered the last AI prompt (seeking to comparison shop for baked beans), will be located and arrested.
SEVEN. Both will be blamed and vilified as the culprits responsible for popping the AI bubble. And both, after a short show trial, in which the guilty will testify against the innocent, will get "the chair". And good thing too! They deserve what's coming to them.
bigyabai•2mo ago
Investors and index funds are really the biggest examples of "bad behavior" to blame this on. And frankly, they're decently well-covered by preexisting datacenter demand, sans any federal bailout. It's not like Apple is shipping a TSMC product that obsoletes Nvidia's product line, nor AMD/Intel for that matter.
Not sure why the fed would invoke natural security to solve a problem the free market can correct. Hell, chances are the CIA needed a new tranche of GPUs for surveillance projects like SENTIENT anyways, I bet they would buy the GPUs at market-price if they haven't already.